Li & Fung to Revive C&C California with New Swim, Sleep & Outerwear

HONG KONG – February 11, 2026 – In a significant move signaling a new chapter for a beloved West Coast brand, supply chain leader Li & Fung has announced a major licensing agreement with C&C California. The deal, facilitated by ACI Licensing, grants Li & Fung category exclusivity for women’s swim, sleepwear/loungewear, and outerwear, along with comprehensive wholesale distribution rights. The new collections are slated to debut at the Holiday 2026 market, promising a modern revival of the brand’s signature effortless style.

This partnership aims to leverage Li & Fung's formidable manufacturing and distribution prowess to expand C&C California's footprint into three lucrative apparel categories. The agreement covers all retail channels, from full-price department stores to off-price and club retailers, ensuring broad market penetration for the revitalized lines.

A New Chapter for a California Icon

C&C California first captured the fashion world's attention in the early 2000s, becoming synonymous with the laid-back, sun-drenched California lifestyle. Founded in 2002 by Cheyann Benedict and Claire Stansfield, the brand achieved cult status with its ultra-soft, vintage-inspired t-shirts, which famously became one of Oprah Winfrey's "Favorite Things" in 2003, sparking a frenzy among consumers and A-list celebrities.

Following its meteoric rise, the brand underwent several ownership changes, being acquired by Liz Claiborne Inc. in 2005 and later by Perry Ellis International in 2008. In 2015, ACI Licensing members acquired the brand's intellectual property, signaling the start of a long-term strategy to rebuild and expand its lifestyle appeal. This culminated in April 2025 when C&C California was brought under the umbrella of Established.Lifestyle, a joint venture between Established Incorporated and ACI Licensing designed to manage and grow a portfolio of recognized lifestyle brands.

This new agreement with Li & Fung represents the most ambitious step yet in the brand's modern journey. Li & Fung intends to honor C&C California's heritage while infusing it with a contemporary, "timeless, seasonless 'endless summer' aesthetic." The new collections will emphasize sun-washed hues, soft tactile fabrics, and a tailored yet undone look that stays true to the brand's roots.

“We are honored to partner with C&C California, a brand known and loved by many generations, to bring three new categories to market that center on their signature quality, laid-back aesthetic, and approachable West Coast lifestyle vibes,” said Mel Limoncelli, Senior Vice President and Head of Licensed Brands at Li & Fung. “The category expansions remain true to a brand heritage rooted in 70s West Coast culture, while also speaking to an endless summer moment through comfort, ease of wear, and easy-care fabrics.”

Li & Fung's Expanding Licensing Empire

The C&C California deal is a key indicator of Li & Fung's broader strategy to build a powerful licensing division. While globally recognized for its unparalleled supply chain solutions, the Hong Kong-based firm has been aggressively expanding its portfolio of licensed brands, leveraging its deep industry relationships and operational expertise to accelerate growth for its partners.

This strategy is evident in a series of recent high-profile agreements. In late 2024, Li & Fung secured an exclusive license for LOFT swimwear, tapping into its extensive experience in the category. This was followed by a partnership with Vera Bradley in early 2025 to launch a new line of home goods. The company further strengthened its position in core apparel segments with the July 2025 acquisition of Orrsum, a UK leader in hosiery and loungewear, marking its first major acquisition since going private in 2020.

These moves highlight a clear playbook: identify established brands with strong consumer recognition and untapped category potential, and then deploy Li & Fung's end-to-end platform to rapidly design, source, and distribute new product lines. This model offers brand partners accelerated speed to market and access to a vast network of retailers.

“At ACI Licensing, we excel at maximizing the impact of our brand partners within the marketplace, and identifying the right licensing partner is critical to driving that success,” commented Andy Cohan, Co-Founder and Co-CEO of ACI Licensing. “Given Li & Fung’s long-standing expertise across key categories, the company was a natural match for further unlocking and expanding the power of the C&C California brand.”

Targeting High-Growth Apparel Markets

The choice of swim, sleepwear, and outerwear is highly strategic, targeting categories experiencing significant growth and evolution. Consumer demand in these segments has shifted towards products that offer a blend of style, comfort, versatility, and sustainability—trends that align perfectly with the C&C California ethos.

In swimwear, the market is moving toward elevated minimalism, textured fabrics like rib and crinkle knits, and versatile pieces that can be worn beyond the beach. The global women's swimwear market is projected to grow at a CAGR of over 5.8% between 2026 and 2031, making it a prime area for expansion.

The sleepwear and loungewear category has transformed from a home-only staple to a multi-billion-dollar fashion segment. Driven by the wellness movement and flexible work arrangements, consumers are seeking high-quality, sustainable fabrics and polished matching sets that blend comfort with public-facing style. This "sustainable luxury" trend is a core tenet of the planned C&C collection.

Similarly, the outerwear market is seeing a fusion of function and fashion. The new C&C line will span this spectrum, offering everything from lightweight windbreakers for transitional weather to insulated puffers and parkas for colder climates, meeting consumer demand for versatile, seasonless layering pieces.

The new product offerings will be comprehensive. The swim category will feature a full collection of separates, one-piece suits, and beachwear. The sleepwear line will expand to include sets, separates, and robes, while the outerwear collection will cover a range of seasonal needs. Retailers interested in the new C&C California apparel line can begin placing orders at the Holiday 2026 market.