Unidentified sources reported that Shein has scheduled its listing on the Hong Kong stock exchange for September 1st. This date represents a slight postponement compared to the previously anticipated date of August 28th. Furthermore, the company is expected to begin the share subscription phase next Monday, August 24th.
Although the company requested confidentiality in its IPO process and omitted timelines in documentation intended for Hong Kong investors, it has not officially confirmed these dates. The newspaper reported that crucial issues, such as the size of the operation, valuation, and timelines, are still under negotiation, meaning any of these aspects may be subject to changes.
Shein is expected to be valued below $30 billion (equivalent to 25.6 billion euros). This marks a considerable reduction compared to the estimated valuation in 2022, after its third funding round, which reached approximately $98.2 billion (83.9 billion euros).
Recently, media outlets have reported that the textile platform has the potential to raise between $2 billion and $3 billion (about 1.7 billion to 2.5 billion euros) through the sale of around 342 million shares.
Founded in Nanjing, China, in 2012, Shein's popularity grew exponentially during the COVID-19 pandemic, driven by increased online sales during that period. In 2022, the company moved its headquarters to Singapore, partly to distance itself from its origins and seek a listing on an international market in the following year.
However, after its initial plans to list in New York and subsequently in London were thwarted—the latter being blocked by interference from Chinese regulators—Shein opted for Hong Kong as a balance point between global investors and authorities in its home country.
Shein, which manufactures mostly in China's Guangdong province and operates in about 160 countries and regions, reached the position of the world's third-largest fashion retailer in 2024, behind Nike and Adidas. However, this rise has also exposed it to criticism regarding its environmental and labor impact, the marketing of illegal items, and misleading marketing practices.
Additionally, as disclosed by the company in its first report submitted to the Hong Kong stock exchange, in recent months it felt the effect of the end of customs exemption for low-value shipments—essential to its business model—in the United States. This measure is compounded by action taken by the European Union in July, aimed at curbing the massive flow of low-cost imports from Chinese platforms like Shein, Temu, and AliExpress.