by Kane Wu and Anirban Sen

(Reuters) – Fashion company Shein has confidentially filed plans for an initial public offering in the United States, according to two sources familiar with the matter, which could make it one of the most important Chinese companies in terms of capitalization listed in New York.

Goldman Sachs, JPMorgan Chase and Morgan Stanley are lead underwriters of the IPO, and Singapore-based Shein could list sometime in 2024, according to the sources.

Shein has yet to determine its valuation, but Bloomberg reported in early November that the group hoped to raise as much as $90 billion.

Shein and Banks did not comment.

Shein’s project comes against a mixed stock market backdrop, three of the last four major IPOs – those of German sandal maker Birkenstock, food delivery app Instacart and chip designer Arm Holdings – having been mixed.

“It does not seem to me that this is the most opportune time for an IPO of Shein, but if the group needs capital, the markets are open (…) and investor sentiment is more positive than a few weeks ago,” comments Jason Benowitz, senior portfolio manager at CI Roosevelt.

Shein has started holding low-key presentations to investors ahead of its IPO, one of the sources said.

It is not yet clear whether Shein has filed with the China Securities Regulatory Commission (CSRC) for an IPO in the United States, as Chinese companies must obtain approval from the CSRC before to be able to list abroad.

The CSRC did not immediately respond to a request for comment.

“As a large and innovative player in the retail sector, Shein will attract a lot of interest from investors,” says Neil Saunders, managing director of GlobalData.

Known for its inexpensive clothing, Shein ships the majority of its products directly from China to its customers by air in individual packages, a strategy that has allowed it to avoid the accumulation of unsold goods and evade customs duties Americans.

Sumeet Singh, an analyst at Aequitas Research, says large companies like Shein are turning to capital markets due to high interest rates and in anticipation of possible changes in U.S. regulations for retailers.

“It’s probably the best solution for them right now,” he said.

(Reporting by Pritam Biswas and Ananya Mariam Rajesh in Bengaluru, Kane Wu in Hong Kong and Anirban Sen in New York, with contributions from Rishabh Jaiswal in Bengaluru, Scott Murdoch in Sydney and Miyoung Kim in Singapore, Corentin Chappron, edited by Blandine Hénault)

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