Chinese cross-border e-commerce Shein's IPO in the United States has attracted attention

According to a report by Reuters on the 28th, two sources revealed that China's cross-border fast fashion brand Shein has secretly submitted its listing application to the US Securities and Exchange Commission. One of the sources said that Xiyin has started a low-key listing roadshow in the United States.
It is also revealed that Goldman Sachs, JPMorgan Chase, and Morgan Stanley have been hired as the lead underwriters for their initial public offering (IPO), with a possible listing date of 2024, and the current valuation of Xiyin is uncertain. But according to the Wall Street Journal, Xiyin's valuation in May this year was about $66 billion, and it may seek a higher valuation in its initial public offering.
Reuters reported that Xiyin has been planning to go public in recent years, but has previously suspended its listing plan twice. In July of this year, it was revealed by the media that Xiyin was in discussions with at least three investment banks regarding its listing.
Xiyin submitted its IPO application in the United States, coinciding with the country's IPO market's lackluster performance and efforts to rebound after a series of new stock listings. According to reports, a total of four companies have conducted initial public offerings in recent months, of which three have disappointed investors. Taking the British chip design giant ARM as an example, it landed on the NASDAQ market in the United States in September and set a record for the world's largest IPO since the beginning of this year, but its stock price subsequently plummeted.
Some analysts believe that investors are not very interested in newly listed stocks due to the impact of high interest rates and low-risk alternative investments. However, others believe that the attractiveness of new stock investments may gradually rebound from the end of this year to the beginning of next year.
Jason Benowitz, Senior Portfolio Manager at investment firm CI Roosevelt, believes that currently is not the best time to go public, but if a company needs funding, the market is open, and investor sentiment is more positive than a few weeks ago.
"As Xiyin is an important and highly disruptive participant in the retail industry, it will attract a lot of investor interest," said Neil Sanders, head of consulting firm GlobalData.
"Xiyin has taken market share from American clothing brands as shoppers are looking for fresher styles." According to Reuters, Xiyin is known for its affordable clothing, and most of its products are directly air shipped from China to shoppers. This supply strategy has helped the company avoid inventory buildup.
According to the Wall Street Journal, according to regulations from the US Securities and Exchange Commission, companies can keep their listing documents confidential for a period of time before an IPO. In the weeks leading up to its listing, Xiyin will release these documents, including financial details.