Shein has reportedly been given the green light from Britain’s Financial Conduct Authority (FCA) to float in London.
Two sources with knowledge of the situation said Shein has “secured approval” from the FCA for its highly-anticipated initial public offering (IPO), according to Reuters.
The FCA’s approval comes after Shein confidentially filed papers with the British regulator in pursuit of the listing in London last June.
It is understood that Shein will also need to receive approval from Chinese regulators for the London listing to go ahead, sources said.
Reuters reported that Shein has informed the China Securities Regulatory Commission (CSRC) of the FCA’s approval in recent weeks but it has yet to receive the go-ahead.
Shein and the FCA declined to comment and the CSRC did not respond to a request for comment.
The news comes after Shein’s profits plummeted by more than a third last year and while sales increased by 19% to hit $38bn (£30bn) in 2024, this was still lower than its sales projection of $45bn (£35.6bn).
The listing in London has prompted concerns and remained uncertain due to ongoing queries surrounding its supply chain and legal risks, including challenges proposed by advocacy groups for China’s Uyghur population.
Shein has said it has a zero-tolerance policy for forced and child labour within its supply chain.
One source added that the turmoil caused by US President Donald Trump’s tariffs on China could delay Shein’s IPO schedule to the second half of the year.
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