Fast-fashion giant Shein started the week on a strong note by submitting confidential IPO documents to the SEC on Monday (Nov. 27, 2023), The Wall Street Journal reported after the U.S. stock market’s close. The deal could be one of the biggest U.S. IPOs in years. Shein’s confidential filing was reported earlier by Shanghai Securities News, according to Bloomberg. The news gave the IPO market a welcome wake-up call on a sleepy Monday afternoon after the Thanksgiving holiday weekend. Shein’s IPO could happen in 2024.
Goldman Sachs, J.P. Morgan and Morgan Stanley have been hired as the lead underwriters for the IPO, according to the financial press, quoting people familiar with the matter
Shein, founded in China in 2012, became a global fast-fashion juggernaut with its trendy $5.00 skirts and $9.00 jeans in the past few years, as The WSJ’s story pointed out. The company is now based in Singapore.
A May fundraising round gave Shein a market cap – or valuation – of $66 billion.
The public won’t get to see Shein’s filing until the company files an F-1 with the U.S. Securities and Exchange Commission.
From The Wall Street Journal’s online story published late Monday afternoon:
“Shein recorded $23 billion in revenue and $800 million in net profit in 2022 and told investors it delivered record revenue and income for the first three quarters of 2023, The Wall Street Journal has reported.”
The Shein news created a splash in the bubbling IPO pipeline, which includes UL Solutions‘ (ULS proposed) recent filing for an IPO that some think could raise as much as $1 billion, and Waystar Holding Corp. (WAY proposed), which has a placeholder figure of $100 million for its estimated IPO proceeds.
The pace of the IPO market is expected to pick up in 2024.
(For more information about these companies, please check the IPO Calendar and the individual IPO Profiles found on IPOScoop.com’s website.)
Note: Never trade on proposed symbols. They have been known to change and you might buy something on the OTC Bulletin Board.
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