According to two sources, Shein began the process of preparing for a possible London listing by the online fast-fashion retailer later in the year by filing paperwork in confidence with Britain’s markets regulator in early June.
Reuters reported in May, citing sources, that the China-founded business started looking for a listing on the London Stock Exchange early this year. The company was valued at $66 billion in a financing round last year. Shein’s first proposal to list in New York was derailed by resistance from politicians in the United States.
Both a Shein representative and a representative of the Financial Conduct Authority (FCA), the UK’s watchdog over the markets, declined to comment.
Due to their lack of authorization to communicate with the media, the two sources who are aware of the agreement declined to be identified.
The exact date of Shein’s planned initial public offering (IPO), which is well-known for its $5 tops and $10 dresses, is not immediately available.
According to the sources, Shein has formally informed China’s securities regulator of its change of listing venue. One of them stated that the firm has not yet received approval from the China Securities Regulatory Commission (CSRC).
Upon Reuters’ request for comment, the CSRC did not immediately provide a response.
Normally, the FCA would need many months to review and determine whether to provide approval.
Shein would be able to publicly submit an intention to float on the London stock exchange if both the FCA and CSRC gave their approval.
That would initiate a four-week process of price guiding and book building prior to trading entry.
Shein will probably have to cope with a new administration if it decides to move through with a UK listing.
According to opinion surveys, Keir Starmer’s Labour Party is expected to handily win Britain’s July 4 election, ending the Conservative Party’s 14-year control.
