Singapore-headquartered fast-fashion company Shein is considering the possibility of switching its initial public offering to London from New York because of hurdles to the listing in the US, Bloomberg reported on Tuesday, quoting people with knowledge of the matter.

Founded in China but is now headquartered in Singapore, Shein is said to be in the early stages of exploring the London option as the company has judged it unlikely that the US Securities and Exchange Commission will approve its IPO, the people said, according to the report.

Shein is still working on its application to list in the US — its preferred location, the people reportedly said. It would need to file a new overseas listing application with Chinese regulators if it decided to switch to London or elsewhere, they added. Other venues including Hong Kong or Singapore may also be considered, two of the people said.

A representative for Shein declined to comment, the report added.

A listing in London would be a potential boon to the beleaguered market, after one of the worst years for IPOs in its modern history. About $1 billion was raised in the UK via IPOs last year, the lowest level in decades, according to data compiled by Bloomberg.

US IPOs by Chinese companies have mostly been small and rare in the years since Didi Global Inc. was forced off the boards in New York, part of a crackdown that essentially closed the market to first-time share sales by Chinese firms, the report added.

Amer Sports Inc.’s $1.6 billion offering in February was the biggest China-backed IPO to tap the US market since Didi raised $4.4 billion in 2021, and the first to raise more than $200 million in that time.

Shein has been subject to scrutiny from the US, with Senator Marco Rubio among those asking the SEC to block its listing, saying the company needs to disclose more about its operations in China. Last year, a member of US Congress asked for a probe into Shein’s cotton supply from Xinjiang. US-China trade tensions have also been simmering for years.

Shein filed last year for a US IPO aiming for a valuation of $80 billion to $90 billion, according to earlier reports.

Shein is a global online fashion and lifestyle retailer, offering SHEIN branded apparel and products from a global network of vendors, all at affordable prices, Shein said in its Linkedin profile.

Founded in 2012, SHEIN has more than 10,000 employees operating from offices around the world.

Fast-fashion giant Shein applies to go public in US – report