Shein Shares Listing Soon? Firm Targets £50 Billion London IPO

Global fashion giant Shein is planning a significant debut on the London Stock Exchange with a £50 billion initial public offering slated for Q1 2025. Amid a climate of economic uncertainty and concerns over business practices, the potential IPO is drawing comparisons to Deliveroo PLC's troubled flotation in 2021.

Shein, a popular online retail platform, has been a behemoth in the fast-fashion sector, capturing a substantial portion of the market with its aggressive expansion and competitive pricing strategy. However, the company's ambitious plan to go public could be marred by skepticism similar to what Deliveroo faced due to potential apprehension over Shein's supply chain transparency, corporate governance, and commitment to workers' rights.

The economic backdrop to Shein's IPO preparation features the estimated impact of tariff policies proposed by the US president-elect, Donald Trump, which the Centre for Economics and Business Research (CEBR) asserts could shrink the UK's GDP by 0.9%.

Regulatory approval still awaits for Shein, and with the firm having first provisionally filed papers back in Q2, progress has been less than rapid. Concerns on side of the aisle, with excitement likely on the other.

If it comes to pass, Shein's IPO would represent a test of market convalescence and investor confidence during challenging time, and could be a real positive for the LSE.