Chinese fashion giant Shein is believed to be mulling the opening of a UK-based warehouse as it continues to pursue a possible IPO filing on the London Stock Exchange.
The company is understood to be seeking a large-scale site between 300,000 to 600,000 square feet in the UK’s Midlands, according to a report by The Telegraph, which said that around 10 potential sites had already been toured by members of Shein’s team.
A spokesperson for Shein told the publication: “To support the growth of the business, Shein is actively exploring warehousing locations worldwide. However, Shein has no immediate plans to acquire warehouse space in the UK.”
In spite of the comment, it was alleged that Shein had engaged property agents JLL and Savills to assist in the search, and further plans to secure a location by the end of the year.
The possibility of a UK warehouse relates to Shein’s intent to file an IPO worth a reported 50 billion pounds on London Stock Exchange, for which it was believed to have confidentially filed paperwork with the Financial Conduct Authority back in June.
This is despite the contesting efforts of a number of UK politicians and human rights organisations who have argued that Shein’s lack of supply chain transparency, mass production and resulting environmental issues should be reasons to halt the stock exchange debut.