Shein could cut £50bn London IPO valuation

Shein is looking to cut its valuation ahead of its highly anticipated IPO amid growing headwinds and changes to import tariffs in the US.

Reuters reported that the fashion giant’s floatation on the London Stock Exchange could be slashed from £50bn to around £40bn ($50bn), nearly a quarter less than its 2023 fundraising value.

The news comes days after the Trump administration said it would close the “de minimis” duty exemption in the United States, ending an import rule that had helped Shein keep prices low.

Analysts have warned that the tariff changes could hurt Shein’s profitability and lead to price increases in the US, which is its biggest market.

Sources told the publication that the eventual IPO valuation will depend on how much of an impact the end of the de minimis will have on the overall business.

The news adds to the growing list of hurdles Shein has faced in its plans for stock market debut in London.

At the start of the week, human rights campaigners Stop Uyghur Genocide launched a fresh attempt to block the retailer’s listing over claims the online giant has benefited from the “proceeds of crime”.

It comes as the UK’s regulator has yet to make a decision on Shein’s application to list, which was filed last Summer, due to supply chain concerns.

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