on air now
NOW PLAYING
KayCee Rossouw
up next
Up Next
The Drive With Roland Gaspar
on air now
NOW PLAYING
KayCee Rossouw
up next
Up Next
The Drive With Roland Gaspar
 

Shein reportedly applies to go public in US

Shein


Fashion giant Shein has confidentially applied to go public in the United States (US), 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 Chinese-based 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.

According to the Wall Street Journal, Shein 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.

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

Earlier this year, the South African government said Monday it was investigating Shein after receiving complaints from the local textile union and industry association that it might be exploiting tax loopholes to gain an unfair advantage.