SHEIN may not qualify for inclusion on the FTSE 100 Index even as the online retailer gears up for an initial public offering (IPO) that could be one of the largest ever in the UK, The Times reported.
The number of shares being sold by Shein will not meet the minimum requirement for inclusion on FTSE indexes, the newspaper said, citing sources familiar with the matter. Companies incorporated outside the UK must have a minimum free float of 25 per cent under stock exchange rules.
Shein was preparing a confidential filing for an IPO in London, with the company potentially seeking a valuation of around £50 billion (S$86 billion), Bloomberg reported last week.
The float is unlikely to take place until after the summer holidays in August, the newspaper said, citing a source close to the process.
Bloomberg reported in February that Shein was actively looking at London as it had judged it unlikely that the US Securities and Exchange Commission would approve a New York IPO. BLOOMBERG
