China has approved fast-fashion retailer Shein's long-awaited initial public offering (IPO) in Hong Kong, clearing the way for the company to pursue a stock market listing after previous attempts in the U.S. and London failed.
China's Securities Regulatory Commission (CSRC) said on Friday that Shein Global Holdings had been authorised to issue up to 341.6 million shares as part of its planned Hong Kong listing.
The company did not immediately comment on the approval.
The approval comes after more than a year of waiting for Beijing's consent, with sources saying the application required sign-off from senior Chinese leaders because of the political sensitivity surrounding the company.
Shein initially sought to list in New York in 2023 but faced mounting scrutiny from U.S. lawmakers and regulators over its supply chain, labour practices and business model.
It later turned to London, where Britain's financial regulator approved its draft prospectus, but the listing stalled after Chinese authorities withheld approval.
Although Shein relocated its headquarters to Singapore in 2022, it remains subject to Chinese overseas listing rules because most of its products are manufactured by suppliers based in China.
Once valued at $100 billion during the pandemic-era e-commerce boom, Shein has since seen its estimated valuation decline as regulatory scrutiny and geopolitical tensions intensified.
The company was valued at $66 billion during its last private fundraising round in 2023, according to sources familiar with the matter.
Shein could now seek a valuation of between $40 billion and $50 billion in its Hong Kong IPO.
While that would value Shein well below Temu parent PDD Holdings, it would still rank among the world's largest listed fashion retailers.
Shein's prolonged path to an IPO reflects the increasingly complex environment facing Chinese companies seeking international listings.
Beijing introduced new rules in 2023 giving the CSRC greater authority to review overseas listings on national security grounds, tightening oversight following the suspension of Ant Group's planned IPO in 2020.
A successful Shein listing would also provide a significant boost to Hong Kong's capital markets, which have seen a resurgence in IPO activity this year.
The retailer continues to face criticism in several markets over allegations relating to labour conditions in its supply chain, its environmental impact and the competitive effects of its low-cost business model.
The company has also come under pressure from U.S. and European efforts to tighten customs rules affecting low-value imports from China.
Iranian Foreign Minister Abbas Araghchi said regional issues should be res...
Ukrainian President Volodymyr Zelenskyy is arriving in Oslo for talks on the Russia-Ukraine conflict, the Norwegian government has said. U.S. Presi...
Georgia’s Constitutional Court in Batumi will on Wednesday hear a lawsuit seeking to ban five Georgian opposition parties, four of whic...
U.S. President Donald Trump has criticised Ukrainian President Volodymyr Zelenskyy for continuing to target Russia's energy infrastructure, while Russian strikes on Kyiv overnight killed at least one person and damaged a metro station.
The day after waiving sanctions and tariffs related to Russian exports, U.S. President Donald Trump said on Saturday he has yet to announce a final decision on the matter as Secretary of State Marco Rubio said officials want more time to evaluate the situation.
A Saudi AH-6i helicopter crashed in the Najran region of Saudi Arabia due to a technical malfunction, killing its two crew members, the Saudi-led coalition's spokesman Brigadier General Turki al-Maliki said in a statement on Sunday.
French President Emmanuel Macron has condemned the violence, looting and vandalism that erupted during cost-of-living protests across France. Prime Minister Sébastien Lecornu held crisis talks on Monday, calling for partial curfews and raising the possibility of a state of emergency.
An oil tanker caught fire after striking a naval mine in the southern part of the Strait of Hormuz, Iran’s Islamic Revolutionary Guard Corps (IRGC) Navy said late Sunday.
Azerbaijan and Georgia are targeting more than $2 billion in bilateral trade as the neighbouring countries strengthen energy partnerships, expand transport links and pursue new investment opportunities.
More than 200 U.S. business leaders have joined Secretary of State Marco Rubio in Uzbekistan as Washington steps up efforts to turn closer diplomatic ties with Central Asia into trade and investment deals.
Thirty-five years after restoring independence, Azerbaijan's economy has more than tripled in real terms. Official data reveal how investment, manufacturing, private enterprise and digital development have reshaped the country's economic landscape.
U.S. President Donald Trump has lifted sanctions on Russian diesel exports and announced a Russia-Ukraine energy ceasefire aimed at easing fuel prices ahead of November’s midterm elections. But can Moscow deliver and will the move will bring meaningful relief to markets?
Taiwan plans to buy 30 per cent of Alaska LNG's annual output and invest up to $4.4 billion in the project, but binding contracts and financing remain unresolved as the U.S. pushes to expand energy exports to Asia.
You can download the AnewZ application from Play Store and the App Store.
What is your opinion on this topic?
Leave the first comment