What: Shein has reportedly filed for an initial public offering and is expected to become publicly traded in the U.S.

Why it is important: The filing for an IPO indicates the company's intention to go public and provides insight into its financial valuation and market strategies that made the fast fashion company grow so quickly.

The IPO is anticipated to take place in 2024. Shein reached a valuation of USD 66 billion this year, following a USD 2 billion funding round. While the company does not usually disclose financial figures, it generated approximately USD 1.38 billion in the U.K. from September 2021 to December 2022, strengthening its market share in the region.

Shein has faced scrutiny from U.S. lawmakers over its supply chain practices, prompting a congressional call to the Securities and Exchange Commission to investigate allegations of forced labour. In response to these concerns, Shein has boosted its spending on lobbying in the U.S. and formed partnerships with companies like Forever 21 and Missguided to establish credibility and expand its market presence.

Shein reportedly files for IPO