Britain's financial regulator is taking longer than usual to approve fast-fashion retailer Shein's IPO.
Sources have told Reuters that's because it is checking its supply chain oversight and assessing legal risks.
It comes after an advocacy group for China's Uyghur population challenged the listing.
Britain's Independent Anti-Slavery Commissioner has also raised concerns within government over a Shein IPO.
It's due to allegations about labor practices at its suppliers.
Shein sells $5 tops and $10 dresses worldwide, with most made in China.
It filed confidentially in the UK in early June for a London listing.
Two other sources said Shein is also awaiting approval from China's securities regulator for its London IPO.
The advocacy group, Stop Uyghur Genocide (SUG), announced a legal challenge in June.
It sent Britain's Financial Conduct Authority -or FCA- a dossier alleging Shein uses cotton from China's Xinjiang region.
The U.S. and NGOs have long accused China of human rights abuses in the Xinjiang Uyghur Autonomous Region.
They allege Uyghurs are forced to work producing cotton and other goods.
Beijing has denied any abuses.
Shein declined to reply to Reuters' questions about the FCA process.
The company said it has a zero-tolerance policy for forced labor and is committed to respecting human rights.
The FCA declined to comment on the listing and any delays.
https://finance.yahoo.com/video/shein-ipo-uk-regulator-decision-145033459.html
No comments:
Post a Comment
Note: Only a member of this blog may post a comment.