Chinese-founded Shein launched a Hong Kong initial public offering on Thursday, seeking up to HK$13.86 billion ($1.77 billion-$1.8 billion) in proceeds at a price range of HK$47.60 to HK$49.50 per Class B share.
The offering, which will comprise approximately 280 million shares, values the company at about $27 billion—roughly 70% below its $98.2 billion valuation from a 2022 private funding round. Shein will finalize the offer price on August 31, with trading scheduled to commence on September 1.
The company, founded in China in 2012 and headquartered in Singapore since 2021, has expanded to serve consumers in roughly 160 countries. Its listing plans have shifted over time, moving from a U.S. focus to London before settling on Hong Kong. Shein confidentially filed for a Hong Kong listing in July 2025 and secured approval from China’s securities regulator in July 2026.
Financial performance has softened in recent years. Revenue growth decelerated from 41.1% in 2023 and 20.7% in 2024 to 8% in 2025, with total revenue reaching $41.85 billion last year. First-quarter 2026 revenue growth slowed further to 1.1%, while net income fell 38.7% to $2.06 billion in 2025. The company reported a $99 million net loss in Q1 2026, compared with a $395 million profit in the same period a year earlier. U.S. revenue declined 14.3% in Q1 following the removal of the U.S. de minimis exemption.
About 80% of the IPO proceeds will be allocated to technology and global expansion initiatives, including investments in AI and data analytics, inventory-management systems, brand building, and supply-chain enhancements.
Cornerstone investors have committed approximately $383 million, equivalent to 22.1% of the offering and about 1.5% of Shein’s enlarged share capital at the midpoint of the price range. Named backers include Boyu Capital, Tiger Global, General Atlantic, Tencent, Greenwoods, Taikang Life, and UBS Asset Management. Several of these firms, including Boyu, Tiger Global, General Atlantic, Tencent, and Greenwoods, are existing shareholders or affiliated with existing stakeholders.
The IPO marks a pivotal moment for Shein as it navigates regulatory scrutiny and shifting market dynamics in its core markets.
