BUSINESS

Online retailer Shein is negotiating a US listing with banks and exchanges

Shein, an online retailer created in China, is in discussions with three investment banks about a possible initial public offering (IPO) in the United States. According to a Reuters story, the business has also had discussions with the New York Stock Exchange and Nasdaq.

Reuters cited sources as claiming that

The IPO’s timetable is undetermined, however. According to the sources, the apparel shop is being investigated by US authorities for its labor policies, so further action may not be taken anytime soon.

Since Didi Global, the ride-hailing behemoth, went public in the US in 2021 with a valuation of $68 billion, the online clothes store, which is presently valued at more than $60 billion, may become the second most valuable China-founded firm to do so. After a year, Didi was removed from the NYSE owing to Beijing’s campaign against the country’s digital titans for violating antitrust and data security laws.

The sources said that Shein hasn’t chosen where its first public offering would take place and is negotiating with the NYSE and Nasdaq to attempt to persuade them to let it choose its own platform.

According to a different Reuters article, Shein registered its initial public offering (IPO) with the U.S. Securities and Exchange Commission under seal. The Chinese clothing firm, however, refuted the rumors without going into any detail.

General Atlantic, Mubadala, Tiger Global, and Sequoia Capital China sponsored a $60 billion fundraising round for Shein, which in March relocated its headquarters from China to Singapore.

Through a collaboration with Reliance Retail, the online fashion retailer is ready to make a return in the Indian market. Since Shein is under investigation in the US, it is possible that it may source from India for other nations as well, according to sources reported by The Economic Times.

Related Articles

Back to top button