Shein has filed for an IPO in the US, as the fast fashion giant looks to expand its global reach
by aparodyoflife ·
- Shein has secretly filed to go public and is moving forward with its long-rumored initial public offering.
- The retailer was last valued at $66 billion.
- Shein has appointed Goldman Sachs, JPMorgan and Morgan Stanley as lead underwriters on the offering.
Shein Group Ltd. temporary store. Inside the Forever-21 store in Times Square in New York, US, on Friday, November 10, 2023.
Yuki Iwamura | Bloomberg | Getty Images
Shein has secretly filed to go public in the U.S., CNBC has learned, as the Chinese-founded fast fashion company looks to expand its global reach with a long-rumored initial public offering.
The retailer was last valued at $66 billion and could be ready to start trading on public markets as soon as 2024, people familiar with the matter said Monday.
It is unclear how much the company is currently worth. But her evaluation has been a central point of discussion between Shein and the advisors she works with, people familiar with the matter said.
The digitally native retailer has seen a meteoric rise over the past few years after captivating consumers around the world with its trendy designs, endless assortment, and cheap prices. But Sheen’s company has faced a series of challenges along the way, facing accusations of using forced labor in its supply chain, violating labor laws, damaging the environment, and stealing designs from independent artists.
The company is currently under investigation by the newly selected House Committee on the Chinese Communist Party, and has faced scrutiny over its ties to Beijing. Several lawmakers, including 16 Republican attorneys general, have called on the SEC to ensure that Shein does not use forced labor in its supply chain before allowing it to begin trading in the United States.
In October, Marcelo Claure, the company’s new group vice president and former SoftBank CEO, told CNBC in an interview that Shen is cooperating with lawmakers and taking time to meet with them to explain the work. He said “there is no such thing as forced labor” in the Shin factories he visited. But the company has repeatedly acknowledged the presence of forced labor in its supply chain, and has indicated it is taking steps to fix it.
The sources said that Shen appointed Goldman Sachs, JPMorgan and Morgan Stanley to be the lead underwriters in the offering.
Shen declined to comment. Goldman Sachs, JPMorgan and Morgan Stanley did not comment.
Earlier on Monday, Chinese media reported on Chen’s report.
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