SHEIN Revives Plans For New York Listing

Chinese fast-fashion retailer, SHEIN, is planning for a U.S. public listing this year, its second attempt after rising tensions between the U.S. and China created unfavorable market conditions for a listing two years ago.

The company’s founder, Chris Xu, is considering a change of citizenship to sidestep Chinese securities regulator’s proposed rules that complicate offshore IPOs in China.

If successful, the initial public offering ( IPO) would be the first significant equity deal by a Chinese player in the U.S. market since last July, when China began imposing rules on offshore listings.

The company’s move to file for an IPO in the U.S. come at a time when new rules China’s cyberspace administration proposed are set to be finalized by the countries’ securities regulator, making the IPO process for Chinese companies even more complicated, Reuters reported. The new rules target businesses whose senior management is a majority of Chinese citizens or residents or whose business activities are conducted largely from China.

SHEIN’s latest attempt to go public in the U.S. comes on the heels of a year of rapid growth. In 2021, the company’s revenue reached $15.7 billion, primarily driven by a global shift in consumers’ shopping habits. In early 2021, the company was valued at $50 billion.

The company is reportedly working with Bank of American, Goldman Sachs and JPMorgan to prepare for its IPO listing.

Alibaba Launches AllyLikes To Compete With Fast-Fashion eTailer Shein

Originally published at https://retailbum.com on January 25, 2022.