Shein’s stock market deal could be the biggest ever in the UK – and one of its most controversial

Question

From researching this claim, it seems to be true. The fashion giant Shein launched in the late 2000s, eventually finding success with the rise of the social media app TikTok. The brand offered customers cheap, on-trend items. However, what seems like a great business model has been embroiled in controversy. From environmental concerns due to the inexpensive items that are typically discarded quickly into the landfill, to claims that their factories use forced labor in the production of their products. 

In the London Stock Exchange, the controversies have been top of the minds of many activist groups, many of which are trying to block its ability to go public in the UK. Yahoo Finance echoed the claims made by The Independent that the company may be planning one of the UK's largest stock market float. The company's IPO (initial public offering) is also likely to be very high due to the company's rising reported earnings. 

Answer 1

After reading through this particular claim, it was found to be true due to the amount of evidence that backs it up. However, the information for it has come from numerous sources/articles and not just the two mentioned above. For starters, while yes there is numerous mentions of how Shein themselves are involved in controversy due to numerous reasons, from their cheap and easy-made items being used and thrown away after one use to forced labor practices, there seems to be even more underneath the surface. For instance, BBC goes on to comment about how even with listing and selling shares in the business portion of the London Stock Exchange, it doesn't necessarily mean the company will actually end up listing there. This is in part because a company that wishes to sell its shares in the UK must first apply to the FCA in order for its financial information to be approved (BBC, 2024). However, even with the allegations of forced labor and the possibility of lost revenue due to smaller packages being sent, London is still willing to take Shein in due to the number of high-profile companies leaving the area and trading in for the U.S. instead. Thus, by taking a closer look at Shein's practices and taking everything they know in with caution, it could [hopefully] help ensure that the company becomes more transparent when out on the public market (BBC, 2024). Not only that, but it was initially thought that Shein would instead go for listing in the U.S. after applying the year beforehand; however, both the Republican and Democratic parties posed concerns about the company's close relations with China. Yet, the company has denied this among other things, saying that there's a "zero-tolerance policy" for the types of issues that Shein has been presenting -- including sourcing cotton for products from only approved regions (BBC, 2024). Speaking of which, CNBC goes into explanation about how due to Shein struggling to list in London, it's caused the company to shift its attention to Hong Kong instead in order to put pressure on the issue of not getting listed soon enough. Plus, groups/organizations such as the Financial Conduct Authority has to make sure that investors are first and foremost protected in regards to their interests, which is another hurdle that Shein would have to pass in order to even be listed in the first place -- meaning, Shein may end up losing out on investments as well due to this very reasoning and all of the issues that surround them (CNBC, 2025). Morningstar also goes on to add onto that note that "it's not unusual for UK-listed companies to carry legal risks globally, at least as long as those same issues are disclosed so that said investors (as mentioned) can make informed decisions" (Morningstar, 2024). With all of this in mind, the accusation claims definitely seem to add up to the point that Shein isn't taking any accountability behind the actions that activist groups and the like are bringing up, which could potentially make it harder for the business to make any progress in regards to their stock in national markets. Thus, losing out on potential income and business partners alike. Plus with all of these points of view, it shows that there is some truth behind the matter even with each article presenting their own information on the situation at hand.

Sources used:

https://www.bbc.com/news/articles/c9xx8l600z6o

https://www.cnbc.com/2025/07/08/shein-files-for-hong-kong-ipo-in-hopes-of-salvaging-london-listing-ft-report.html

https://global.morningstar.com/en-gb/markets/fca-signals-it-will-support-2025-shein-ipo

Answer 2

Upon inspecting those claims, the news that Shein is planning a major IPO, and the backlash it has aroused about it happens to come from different types of outlets, and multiple articles, not just one article. The news that Shein intends to go public comes largely from financial sources such as Reuters, Yahoo Finance, the Financial Times and The Independent. These reporters have a long history of citing official reports, regulatory papers, or people involved with the process, so their coverage is fairly reliable. The section on activist groups attempting to block the IPO in the UK is from the activist groups themselves: Stop Uyghur Genocide, their lawyers at Leigh Day, and statements from Amnesty International UK. Their mission is human rights advocacy, and thus their letters published in the first person and legal actions reflect that mission. The allegations of forced labour and environmental degradation are even deeper and go back to the very early investigations conducted by groups such as ASPI (Australian Strategic Policy Institute), the U.S. Department of Labor, and environmental groups like Greenpeace. Those are the sources that first documented worries about cotton production, factory conditions and the giant waste generated by fast fashion. Activist groups and journalists, who then build on that research, are why the identical allegations are repeated throughout different articles. There are different angles across each group — journalists keep reporting filings and facts, activists lobby for human-rights accountability, environmental NGOs focus on pollution, Shein’s own sustainability reports work to defend the company. Combining all of this demonstrates that the claim that you studied is backed up by several credible sources, yet each of them has their own point of view and agenda.

Answer 3

Shein has attracted attention from the market due to their low prices, wide variety of items, advertisements, word of mouth, and Google searches. Shein is also known for controversial events such as environmental harm, illegal child labor, abusive working conditions, and extensive hours. According to Shein's environmental report, https://www.sheingroup.com/wp-content/uploads/2024/08/FINAL-SHEIN-2023-Sustainability-and-Social-Impact-Report.pdf.pdf, it states that SHEIN admitted two child-labor cases in its supply chain. This claim is true, as in the London Stock Exchange in Reuters, many activists are challenging Shein's plan to go public and list in London. Investigators from https://www.cnbc.com/2024/05/16/china-fast-retailer-shein-suppliers-work-75-hour-weeks-report-claims-. reported that they have, in fact, made workers work long hours and in unsafe working conditions. Overall, this claim has lots of evidence to back it up, as evidence proves the harm Shein is doing to the world; meanwhile, Shein has not directly owned up to all these allegations.

Answer 4

1Yes, this claim is accurate. Shein's potential £50 billion stock market launch in London would likely be the largest in UK history, but it comes with a major cloud of controversy. The move is facing fierce opposition from human rights groups, like Stop Uyghur Genocide, and UK politicians who are all raising serious concerns about allegations of forced labor in the company's supply chain. This ethical issue is actually the main reason Shein gave up on its original plan to list in the United States.

Answer 5

Shein has been trying to get listed on the London Stock Exchange, and some reports say it could end up being one of the biggest stock market deals the UK has ever seen. But the whole thing has become really controversial. Even though Shein became super popular on TikTok for its cheap and trendy clothes, the company has faced a lot of criticism for harmful environmental impacts and for allegations that some of its factories have poor working conditions or even forced labor. Because of this, many activist groups and some politicians in the UK are speaking out against the IPO and are pressuring regulators to take a closer look. Shein denies these accusations, but the backlash has caused delays and made the future of its stock market launch uncertain.

https://www.independent.co.uk/independentpremium/business/shein-stock-market-fast-fashion-b2555805.html?

https://www.sheingroup.com/wp-content/uploads/2024/08/FINAL-SHEIN-2023-Sustainability-and-Social-Impact-Report.pdf.pdf