Exclusively, turned to reduce value assessment to $ 50 billion in London IPO, sources say
Author Hadeel al Sayegh, Julie Zhu and Kane Wu
Dubai/Hong Kong (Reuters) – Internet Moda Fast Moda Shein should reduce his assessment in a potential listing in London at about $ 50 billion, said three people who know about the matter, almost a quarter less than the value of funds raising for 2023. winds.
The company’s business prospects have become under the cloud in recent days after Trump’s administration has said that it will close the exemption of “De Minimis” in the United States, ending the rule of imports that helped to keep Shein low.
The removal of the measure could harm Shein’s profitability and stimulate product prices in the US, they said to its largest market, analysts and experts in the industry.
An IPO (initial public offer) assessment will depend on the effect of the end of the de minimist on the seller’s job, one of the people said. Considering that removal happened only this week, it will take time to evaluate, they added.
Shein and the rival topic probably made up more than 30% of all packs of ships shipped to the USA every day in accordance with the provision of the De Minimis, said the US Congress Cinema Committee in the 2023 report. The measure made a shipment less than $ 800 than imported duties.
The sources refused to name themselves because they were not authorized to talk to the media.
Shein, who was founded by an entrepreneur born in China, Sky Xu, did not answer the commentary request.
The removal of de minimis is part of President Donald Trump’s imposition an additional 10% of Tariff on China in what he called “opening a salvo” in a conflict between the two largest economics in the world.
Almost half of all packages delivered under de minimis come from China, according to a report of the congress committee.
Shein was aimed at going public in London in the first half of this year, assuming that he had secured approval from a regulator in the UK, as well as in China, Reuters reported last month.
The last round of funds raising in 2023 worth $ 66 billion, which is approximately a third of less than the climax a year earlier, the sources of Reuters said.
The latest targeted IPO assessment would mark the second consecutive circuit of retailers, when the company reduces the hair to evaluate values during the funding circle.
The reasons were not immediately known.
Shein suggested IPO comes at a time when the Government Government puts pressure on its regulators to be more growth and has launched overhaul rules on the list to make London more attractive to companies.
The Government’s source in the UK, who refused to be appointed because they were not authorized to speak publicly about the agreement, said he was still willing to start Shein in London.
