By Chen Lin

SINGAPORE, (Reuters) – China’s Shein has begun to expand its Singapore office following the de facto creation of a Singapore company as its holding company. This is according to sources with knowledge and a Reuters analysis that looked at filings made by the fast-fashion online retailer.

According to a document, Chris Xu (Shein’s CEO and founder) has become a resident permanent of the city state.

Shein was founded by Xu in Nanjing in 2008. It has grown to be a worldwide fashion market. Last year, Shein de-registered Nanjing Top Plus Information Technology Co Ltd., a Chinese corporate filing.

According to Reuters, these developments coincide with other reports that Shein plans to list in New York in the new year. Xu also wants to change his citizenship in order to circumvent stricter Chinese laws for offshore IPOs.

Roadget Business Pte is a Singapore-registered entity that lists Xu, three others, as its representatives. It was created in 2019, and has operated Shein’s global website since the late 2021st, Singapore filings reveal.

Roadget also now owns Guangzhou Shein International Import & Export Co Ltd as well as Shein’s trademarks that were transferred from Hong Kong’s Zoetop Business Co, which had been involved in intellectual property disputes with global brands. Shein’s LinkedIn company profile shows Singapore as its headquarters.

The sources for the article weren’t authorized to talk to media, so they declined to identify themselves.

Shein declined to answer Reuters’ questions regarding whether the legal and administrative headquarters had been moved to Singapore. Shein said that its operations are based in key markets such as China, Singapore, USA, and Japan.

Shein is a Chinese clothing company that produces garments in China. However, it doesn’t sell clothes in China. Shein has a market value of about $50 billion.

It’s not clear when Xu became a permanent resident of Singapore and if it was under the country’s international investor program. An applicant for Singapore citizenship must already be a permanent resident in Singapore for at most two years.

Shein declined to comment on Xu’s Singapore permanent resident status or whether he plans to apply for Singapore citizenship. It said that Xu was a Chinese citizen who has long-standing roots in China. Shein did not comment on whether he would seek Singapore citizenship.

Melissa Ow is the executive vice president for the Singapore Economic Development Board. She declined to say whether she had spoken with Shein or Xu.

SINGAPORE – HIRING

According to two sources familiar with the matter, Shein aims at doubling the number of Singaporeans employed by it to approximately 200 employees by year-end.

It’s currently looking for people for the government relations team as well as staff in human resources, marketing, and IT. Shein indicated that it plans to expand its Singapore offices in order to assist the firm’s expansion in Southeast Asia.

Shein, despite fierce competition, has emerged as one of the largest global fast fashion marketplaces. It targets the “Gen Z”, a social media-savvy generation. Shein makes heavy use of discount codes and influencers.

Hundreds of millions of people visit its site each month to purchase items such as $5 tops and $10 dresses. Sources have reported that the company earned around 100 billion Yuan ($15.7 trillion) last year. According to its website, the company employs around 7,000 workers worldwide.

Some companies view Singapore as neutral, a financial hub in Asia with an ethnic Chinese population. This is amid tensions between China (and the United States) and Singapore. Tencent Holdings (OTC): and TikTok’s owner ByteDance, both Chinese tech giants, have recently established regional hubs for Singapore.

If Shein’s New York IPO is successful, it would be likely to mark the beginning of a major equity deal between a Chinese company and the United States. This could happen since China’s regulators tightened their oversight last July.

Chinese companies, especially those that have large markets overseas, find it attractive to invest in America’s deep financial pool.

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