Fashion Retailer Shein Files For U.S. IPO

Bloomberg reports that Fast-fashion retailer Shein has confidentially filed for an initial public offering with US regulators.

Shein’s initial public offering could take place next year, the report added.

The online retailer has tapped Goldman Sachs Group Inc., JPMorgan Chase & Co. and Morgan Stanley on the listing.

The fashion retailer which gained popularity for its trendy clothing at ultra-low prices has been hoping for a valuation of as much as $90 billion in a US IPO.

Shein’s estimated sales now far surpass Zara and H&M in the US fast-fashion market.

Shein has faced criticism for poor labour conditions in factories it partners with, overproduction of poor quality garments and the use of cotton from a Chinese region accused of using forced labour.

US senators have written to Shein Chief Executive Officer Chris Xu to request more information on the labour claims.

Shein has opened distribution centers in the US, Canada and Europe to accelerate shipping times in those regions. It has also begun to expand manufacturing in Brazil, Turkey and India.

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