Shein IPO: 'Queen of Shops' Mary Portas seeks Labour block on London listing

Shein IPO: ‘Queen of Shops’ Mary Portas seeks Labour block on London listing

Posted by Admin July 17, 2024 Shopping

The TV retail consultant known as ‘Mary Queen of Shops’ has called on the government to block a proposed London stock market listing by Shein.

Mary Portas, who undertook a review of UK high streets for the coalition government led by David Cameron, was speaking as an online petition by the Say No to Shein campaign neared its target of 35,000 signatures.

The Chinese-founded fast fashion firm is expected to seek a £50bn valuation in an initial public offering (IPO) late this summer or in the early autumn.

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The prospect of a London listing arose after it was snubbed in the US, where Chinese firms generally are facing a hostile reception due to perceived links with the state.

Sky News revealed in early June that the company was on the verge of filing a prospectus with the Financial Conduct Authority and was later said, by the Reuters news agency, to have made that step.

Shein’s critics say the UK government should block the application until it has completed a thorough investigation into the company’s labour practices, environmental impact and tax arrangements.

It has also faced claims related to copying of branded goods to sell on at discounted prices.

“Why would we as a country consider embracing a company like Shein onto the London Stock Exchange?,” Ms Portas said.

“This is a company with allegations of unethical business practices, modern slavery, and violating labour laws. Surely we are better than this?”

Last month, a separate UK-based group called Stop Uyghur Genocide launched a legal bid to block any London IPO by Shein.

The company has yet to comment on the petition but has previously said that it is committed to respect for human rights and has a zero-tolerance policy for forced labour.

Shein executives met with both Conservative and Labour politicians in the run up to the general election.

Labour has previously signalled conditional support for a Shein IPO but said it should be regulated in the UK.

The firm’s current base is Singapore.

The UK government, like its Conservative predecessor, is anxious to strengthen the appeal of the UK as a place to do business after other top financial services destinations such as New York benefited from new business in the wake of Brexit.