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Shein has reportedly filed for an initial public offering (IPO) in Hong Kong after facing continued setbacks in its plans to list on the London Stock Exchange, according to The Financial Times.
The Singapore-based online retailer is said to have privately submitted a draft prospectus last week to the Hong Kong stock exchange and sought approval from the Chinese Securities Regulatory Commission (CSRC).
Shein first filed for a London IPO around 18 months ago but has not secured regulatory clearance.
The delay is understood to relate to disagreements between Chinese and UK regulators over the wording of the prospectus’s risk disclosure section, particularly on how to describe supply chain risks in the Xinjiang region, where China faces allegations of human rights abuses.
The FT reported that London remains Shein’s preferred listing location, provided the Financial Conduct Authority (FCA) agrees to accept a CSRC-approved prospectus.
The news follows reports that Shein is also considering ways to restructure its US business to mitigate the impact of tariffs on goods from China.
Two people familiar with the matter said one option under review is shifting production for the US market to countries outside China.
While most of Shein’s supply chain remains based in China, the company also has manufacturing operations in Brazil and India.
However, its capacity in these countries is limited and unlikely to match the scale of its Chinese operations, which rely on a network of about 7,000 suppliers.
Shein has been contacted for comment.
