Business & Finance
Shein targets valuation near $27 billion in planned Hong Kong stock listing
The fast-fashion retailer aims to raise up to $1.77 billion following earlier unsuccessful listing efforts in the US and the UK.
The short version
- Shein plans to raise up to HK$13.86 billion ($1.77 billion) in an initial public offering scheduled to trade in Hong Kong on September 1.
- The target valuation of nearly $27 billion is significantly below the $100 billion valuation achieved in a 2022 private funding round.
- The listing follows prior failed attempts to float in New York and London amid regulatory hurdles and supply chain scrutiny.
- The offering comes after the company posted a $99 million quarterly loss tied to decelerating sales and changes to US import tax exemptions.
Key facts
- Shein is offering roughly 280 million shares priced from HK$47.60 to HK$49.50, seeking up to HK$13.86 billion ($1.77 billion) on the Hong Kong stock exchange.[BBC News]
- The top of the proposed pricing range values the Singapore-headquartered company at almost $27 billion, backed by underwriters Goldman Sachs, Morgan Stanley, and JP Morgan.[BBC News]
- The company reported a first-quarter loss of $99 million, swinging from a $395 million net profit a year earlier, following the removal of a US import duty exemption on small parcels.[BBC News]
- Prior efforts to list in the United States and London stalled over regulatory challenges and scrutiny regarding supply chain practices and forced labor allegations.[BBC News]
- Shein has stated that it maintains a policy of zero tolerance toward forced labor.[BBC News]
What remains uncertain
Sources
- Shein aims for almost $27bn valuation in stock market debutBBC News - Top Stories