Jan 18, 2011 Chinese fashion retailer Shin is in talks to raise up to $3 billion in a $64 billion discount, the Financial Times reported on Wednesday, citing people familiar with the talks.
The latest estimate would be 36 percent less than the $100 billion the company raised last year.
Large tech and growth stocks have borne the brunt of long-term volatility over the past year, with the tech-heavy Nasdaq Composite Index (.IXIC) down 33 percent in 2022 as a sharp rise in interest rates.
Russia’s invasion of Ukraine and subsequent Western sanctions have been the latest blow to global sales, prompting companies including Xi to shelve plans to list in the U.S., Reuters reported last year.
The online retailer is looking to close a new fundraising round, including Abu Dhabi sovereign wealth fund Mubadala, venture capital group Sequoia China and private equity group General Atlantic, the report added.
Schein did not immediately respond to a Reuters request for comment.
In 2010, Shin, who was not sold in China, Since its launch in Nanjing in 2008, it has grown to become one of the largest online fashion marketplaces in the world. It produces clothes in China – its biggest market – to sell online in the US, Europe and Asia.
Deals like $10 apparel and $5 top items help attract hundreds of millions of visitors to the site each month.
The company It projected revenue of 100 billion yuan ($15.7 billion) by 2021 and was valued at $50 billion earlier that year. Read more
The company has long been criticized for its supply chain practices. The extremely low prices and lack of transparency have led labor watchdogs, including the Labor Rights Coalition and the Business and Human Rights Resource Center, to question how to produce goods so cheaply.
Reporting by Niket Nishant and Mehnaz Yasmin in Bengaluru; Editing by Maju Samuel and Shailesh Kuber
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