Fast-fashion giant Shein applies to go public in US: report

ATTENTION – ADDS Shein declined to comment ///

Washington, Nov 28, 2023 (AFP) – Chinese-founded fast fashion giant Shein has confidentially applied to go public in the United States, the Wall Street Journal reported Monday, calling the move potentially one of the biggest IPOs in years.

The offering could come next year, the newspaper said, citing people familiar with the matter and adding that Chinese media had also reported on the filing.

Banks Goldman Sachs, JPMorgan Chase and Morgan Stanley have been tasked with underwriting the offering, according to the business daily.

Shein told AFP it had “no comment at this time”.

Both Goldman Sachs and JPMorgan Chase declined to comment when contacted by AFP, while Morgan Stanley did not immediately respond to a request for comment.

Shein was valued at $66 billion earlier this year, and a public presence in the United States could make huge waves on Wall Street.

The company — known for selling enormous amounts of clothing stock for extremely low prices — recorded $23 billion in revenue and $800 million in net profit in 2022, the Journal said, reporting that Shein has told investors it has already posted new records in the first three quarters of 2023.

Founded in 2008 in China and based in Singapore, Shein has quickly conquered the global fast fashion market by selling its products exclusively online and catering to young customers through social media.

Shein has been accused of exploiting unpaid labor, obscuring production processes and encouraging overconsumption as it has faced the wrath of environmental and human rights activists.

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AFP

(NAMPA / AFP)