Shein vows to invest in UK, Europe ahead of IPO

STORY: Shein is trying to win friends ahead of a possible share sale.

The fast fashion giant has pledged to invest in the UK and Europe.

It’s promising to put in about $271 million over five years.

The move comes as Shein runs into opposition ahead of a possible share listing in London.

It’s faced criticism over labor standards in its supply chain.

European politicians also accuse it of killing local firms by flooding the market with clothes at rock-bottom prices.

Some say it’s exploiting a tax exemption for low-cost parcels – a loophole the EU is now thinking about closing.

The China-founded firm was valued at $66 billion in a fundraising round last year.

It already sources some clothes in Turkey, but gets the vast majority from China.

Speaking to Reuters, chairman Donald Tang wouldn’t say where in Europe it might now start sourcing goods.

The firm said it would bring more European artists and designers into its incubator programme as part of the new investment.

Reuters sources say Shein filed papers last month for a potential London share sale later in the year.

However, the Financial Times has since reported that the firm is keeping alive the possibility of a Hong Kong listing too.

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