IPO OF THE SHEIN COMPANY
In the first half of December, news emerged that Chinese digital fashion brand Shein had filed a confidential application with the US Securities and Exchange Commission with a view to going public, likely in early 2024. According to a report from Bloomberg, Shein is seeking a valuation of up to $90 billion, up from the approximately $66 billion it was valued at in a May funding round.
Shein brings a new approach to going public by prioritizing its social impact over traditional financial results or investors. The company focuses on driving demand for its stock through a strong social media presence, with approximately 31 million followers on Instagram alone. Most of these are younger consumers who are attracted to the bargain prices and exceptional fashion options offered by this digital fashion brand.
In your opinion, can such a strong social influence help the company to be valued at up to $90 billion at IPO?
I'm very interested in this and I'll keep an eye on it, as all the girls I know only buy from Shein and talk about it all the time. I'll be interested in the IPO and the awards instead of the clothes.