Online fast fashion retailer SHEIN is considering a high-profile public listing on the London Stock Exchange (LSE), in addition to its plans for a New York flotation, Sky News reported.

The news agency said SHEIN's executive chair Donald Tang met with LSE executives and key stakeholders in the UK economy during his visit to London.

SHEIN, founded in China in 2012, has become one of the world's largest online clothing retailers and was the first company to use data analytics to predict client demand and manufacture small quantities of specific items to keep inventory costs low.

Despite being valued at more than $100bn in 2022, a subsequent share sale in 2023 led to a recalibration of its worth to $66bn. The platform is targeting a valuation of $90bn in a potential US initial public offering.

Focus on UK listing options

Discussions reportedly centred on the potential of a UK listing, as the Singapore-based company actively explores various avenues for capital generation through a public share sale.

Sky News said insiders suggest that a US listing remains 'the likeliest outcome' and the possibility of a dual listing in both the US and UK is considered unlikely.

The LSE's pursuit of SHEIN comes amid a challenging period for London as a preferred listing venue for large multinational companies. Recent decisions by ARM Holdings and Marex Group to choose New York over London reflect concerns about valuations and market liquidity.

According to Sky News, both SHEIN and the LSE refrained from commenting on the matter. 

Strategic moves in the UK and global expansion

The company's presence in the UK has grown in recent months with the acquisition of Missguided from Frasers Group.

With operations in more than 150 countries, SHEIN recently solidified a partnership with SPARC Group, a joint venture between ABG and US shopping centre operator Simon Property Group. This collaboration enables SPARC's Forever 21 to leverage SHEIN's platform.