Online fashion and lifestyle retailer Shein has acquired the women's fast fashion brand Missguided from UK-based retail company Frasers Group.

The announcement comes a month after Shein reportedly held talks with Frasers regarding the deal.

Missguided will support Shein’s endeavour to meet the growing customer demand for product variety and improve customer experience.

In addition, Shein has entered an agreement to license the Missguided brand IP to SUMWON Studios, a joint venture (JV) between Shein and Nitin Passi, founder of Missguided.

The JV will manage the Missguided brand while Shein will manufacture its products and collections using its on-demand production model.

The company’s model reduces production waste at the source by increasing production in response to the actual market demand.

These products and collections will be sold as an independent brand on Shein sites, as well as on Missguided.com, to 150 million users across the globe.

Financial terms of the transaction have not been disclosed.

Shein executive chairman Donald Tang said: "The joint venture we have entered ushers in a new format of partnerships for SHEIN, as part of our unwavering commitment to meet customer demand.

"SHEIN aims to reignite the Missguided brand, capitalising on its unique brand personality and fuelling its global growth through SHEIN's on-demand production model, unparalleled e-commerce expertise and global reach."

This comes closely after Shein partnered with global brand development and marketing platform Authentic Brands Group on a co-branded Forever 21 brand collection.