Fast-fashion retailer Shein has launched an initial public offering in Hong Kong aiming to raise up to $1.77 billion. The company targets a valuation, marking a significant drop from its private market peak.
Online fast-fashion giant Shein has officially launched its Hong Kong initial public offering, setting a valuation target. The move brings the e-commerce retailer to the public market after earlier regulatory hurdles blocked planned listings in the United States and London.
Hong Kong Debut and Pricing Structure
Trading on the Hong Kong stock market is scheduled to begin on September 1. In a filing on Monday, the company announced plans to offer nearly 280 million shares priced between HK$47.60 and HK$49.50. At the top end of that pricing range, the initial public offering would value the firm at almost $27bn (£19.8bn).
The offering aims to raise up to HK$13.86bn (£1.3bn; $1.77bn). Wall Street investment giants Goldman Sachs, Morgan Stanley and JP Morgan are backing the public debut.
Valuation Drop From Private Market Peak
The targeted valuation represents a sharp decline from previous years. Online fast-fashion retailer Shein’s valuation has dropped by around 70% from a near $100 billion private market peak four years ago, as it aims to raise up to HK$13.86bn (£1.3bn; $1.77bn) in its Hong Kong IPO launched on Monday. That $100 billion valuation was reached in a round of private fundraising in 2022, reflecting weaker sales growth and higher costs.
The long-awaited move comes after failed attempts to list in the US and London due to regulatory challenges amid scrutiny of Shein, which has its headquarters in Singapore but was founded in China.
Despite the lower valuation, the company maintains a massive global footprint. Since it was founded in 2008, Shein has risen to become one of the world’s biggest fast-fashion retailers, with customers in more than 150 countries. The e-commerce giant is known for selling ultra-cheap clothes, backed by a vast network of factories in China that are able to quickly manufacture new products based on the latest trends, and its revenue has far outstripped rivals like H&M and Zara. As of the end of March 2026 Shein had 281 million active customers – a rise of more than 16% on a year earlier – who placed a total of more than one billion orders.
Tariffs, Regulatory Scrutiny, and Financial Pressures
The public debut follows a challenging financial period for the e-commerce giant. In July, Shein said it had swung to a quarterly loss as its sales slowed after US President Donald Trump removed an import duty exemption on small packages. The company said it lost $99m in the first three months of the year, compared with a net income of $395m a year earlier. The first-quarter figures also partly reflected a paper loss of $328m due to an accounting change for special investor shares, which can be turned into ordinary stock later, and their value can change before a listing.
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It also came as uncertainty remains over the tit-for-tat US-China tariffs wars, which is currently paused. In response to the increased duties and taxes, we are pursuing a wide range of options, including increasing our prices in the US market to offset a portion of the increased costs,
Shein said at the time. The company also said the Iran war had hit demand, increased costs and caused delays of deliveries in some markets.
Beyond financial headwinds, Shein’s fast-fashion business has faced concerns over its environmental impact, and allegations of forced labour in supply chains. Shein has previously told the BBC it has a zero tolerance for forced labour
. Its attempt to go public on the London Stock Exchange collapsed after the company came under scrutiny over its refusal to answer questions about its supply chain practices.
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