Shein targets nearly $27 billion valuation for Hong Kong stock market debut
The fast-fashion retailer plans to start trading on the Hong Kong stock exchange on 1 September, aiming to raise approximately $1.77 billion.
By BBC News
Shein is seeking a valuation of nearly $27 billion as it prepares for its debut on the Hong Kong stock exchange on 1 September 2026. The fast-fashion retailer plans to issue nearly 280 million shares, with an offer price range set between HK$47.60 and HK$49.50 each. If shares are priced at the upper end of this range, the company could raise up to HK$13.86 billion, equivalent to about $1.77 billion.
This move comes after Shein's previous attempts to list in the US and London were hindered by regulatory challenges. The company, which is headquartered in Singapore but was founded in China, is now looking to capitalise on the revived IPO market in Hong Kong, which has attracted more firms from mainland China.
Investment banks Goldman Sachs, Morgan Stanley, and JP Morgan are backing the initial public offering (IPO). Analysts suggest that Shein may achieve a higher valuation in Hong Kong compared to London, where regulatory scrutiny has previously affected its plans.
Shein's listing will be a significant test of investor confidence in the fast-fashion sector, particularly as the company reported a quarterly loss in July due to slowed sales and increased costs. In the first quarter of 2026, Shein recorded a loss of $99 million, a stark contrast to a net income of $395 million in the same period the previous year.
The company has attributed some of its challenges to changes in US import duties and ongoing geopolitical tensions, which have affected demand and logistics. Despite these hurdles, Shein has continued to grow, boasting 281 million active customers as of March 2026, a 16% increase from the previous year.
Concerns regarding Shein's environmental impact and supply chain practices have also been raised, with the company stating it maintains a zero-tolerance policy for forced labour. The upcoming IPO marks a pivotal moment for Shein as it seeks to solidify its position in the competitive fast-fashion market.