China-established fashion giant Shein may launch IPO in UK instead of US: Report

The UK government has reportedly held talks with Sheen’s boss (symbolic image)

London:

Amid speculation on Tuesday that Chinese-founded “fast fashion” giant Shein is considering joining the London Stock Exchange, Sky News reported that the UK government has held talks with its boss.

Finance Minister Jeremy Hunt met with Shein’s executive chairman Donald Tang earlier this month “as part of efforts to persuade it to list in the UK”, the broadcaster reported.

If the government is successful, it would be one of London’s largest corporate flotation ever.

Founded in China as ZZKKO in 2008 and based in Singapore, Shein has quickly captured the global fast fashion market by serving young customers through social media.

Valued at $66 billion last year and reportedly having more than $23 billion in revenue, the online retailer is eyeing a major initial public offering, with the Wall Street Journal reporting in November that it was initially eyeing New York .

However, Sky reported that it was concerned that the US Securities and Exchange Commission might reject the application.

The company has been accused of exploiting unpaid labour, obscuring production processes and encouraging excessive consumption as it faces the wrath of environmental and human rights activists.

Chinese-owned online retailer Teemu recently sued Shein in a US court, accusing it of “mafia-style” bullying tactics to maintain its lead in the local market.

(Except for the headline, this story has not been edited by NDTV staff and is published from a syndicated feed.)