Updated January 17th, 2024 at 18:31 IST
Chinese authorities initiate cybersecurity review of Shein
The online retailer, valued at $66 billion in a May fundraising round, filed its intended IPO with the CSRC in November.
Shein under review: China's Cyberspace Administration is reportedly conducting a cybersecurity review of Shein, an online retailer, focusing on its data handling and sharing practices. According to media reports, the regulator is examining how Shein manages information related to its partners, suppliers, and staff in China. The scrutiny extends to assessing the company's ability to safeguard this data from potential overseas leaks.
The government's interest also encompasses the nature of Chinese data that Shein may disclose to US regulators as part of its efforts to secure a listing in the United States. Media reports suggests that Shein's plans to go public in the US have faced political opposition, potentially complicating the fast fashion retailer's listing aspirations.
Despite the reported review, Shein has not yet responded to requests for comment. The online retailer, valued at $66 billion in a May fundraising round, filed its intended initial public offering (IPO) with the China Securities Regulatory Commission (CSRC) in November. The outcome of the cybersecurity review could have implications for Shein's IPO plans, as it seeks approval from Beijing to go public in the United States.
(With Reuters inputs)
Published January 17th, 2024 at 18:21 IST