Shein chooses London for IPO amid regulatory challenges

Fashion giant Shein has decided to go public in London after facing obstacles with its planned New York listing, which included lawmakers’ concerns about possible forced labor and accusations of exploiting a US tax loophole, reports the Wall Street Journal.

Shein filed its IPO application confidentially with the UK’s Financial Conduct Authority in June, aiming for a listing on the London Stock Exchange.

Additionally, it submitted the necessary paperwork to Chinese regulators, complying with local rules due to its significant operations in China. Despite previous challenges, Chinese authorities are not expected to block the deal.

Shein, known for its affordable and trendy clothing, has grown rapidly since its founding in China in 2012. It was valued at approximately $66 billion last year.