Fast-fashion giant Shein is reportedly seeking an “exemption” from UK regulators in regard to overlooking listing rules that require at least 10% of its shares to be sold to the public ahead of its highly-anticipated London float.

Sources familiar with the matter said that Shein is “exploring this option to facilitate its IPO”, as reported by Reuters.

If an exemption of the guidelines is granted, this would likely mark the first time that a company in London has been allowed to list below the recently introduced 10% threshold.

The valuation of Shein to date and how much the business is looking to raise via the London listing was not immediately known.

Listing rules in London changed in 2021, cutting the proportion of shares an issuer is required to float from 25% to 10%.

At the time, the FCA said this reduced “potential barriers” for large IPOs and it hoped to boost the attractiveness of London to businesses.

Shein declined to comment.

This comes as it was also reported by Reuters last week that the fashion giant’s IPO approval has been delayed yet again over supply chain queries.

Reports suggest that Shein’s IPO is expected to launch on the London Stock Exchange in early 2025 following months of rumours and setbacks, including the decision to list in London coming as a result of hurdles previously faced with US regulators.

If Shein successfully lists itself in London, the IPO is anticipated to become one of the largest deals on the London Stock Exchange in recent years.

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