Shein considers switching IPO from New York to London

27th Feb 2024 09:29

(Sharecast News) - Fast fashion retailer Shein was said to be looking at switching its proposed $90.0bn initial public offering from New York to London as a result of regulatory hurdles to the listing in the US.

According to Bloomberg, citing people familiar with the matter, Shein, founded in China but headquartered in Singapore since 2022 for regulatory reasons, was in the early stages of exploring its options in London as it deems it unlikely that the Securities and Exchange Commission will approve its US IPO.

Shein will be required to file a new overseas listing application with Chinese regulators if it opts to switch to London.

US senator Marco Rubio has previously asked the SEC to block Shein's listing, stating the company needs to disclose more about its operations in China.

According to Sky News, chancellor Jeremy Hunt held talks with Shein executive chairman Donald Tang in an effort to convince the company to commit to what would mark one of London's largest-ever flotations. Insiders told Sky that the two had held "productive" discussions regarding an initial public offering on the London Stock Exchange.

Reporting by Iain Gilbert at Sharecast.com