Shein weighs investor reset ahead of Hong Kong IPO at around $40 billion valuation
Reuters reported Shein is targeting a $30 billion to $40 billion valuation and could launch its Hong Kong IPO as early as mid-August after starting pre-deal investor meetings.
Shein is preparing for a Hong Kong initial public offering that could launch as early as mid-August, with Reuters reporting the online fast-fashion retailer is seeking a valuation of $30 billion to $40 billion. The company started pre-deal investor meetings last week, and the timetable and valuation remain subject to change based on investor feedback. The target would be a steep markdown from Shein's $98.2 billion valuation in 2022 and its $64 billion valuations in private fundraising rounds in 2023 and April 2024, reflecting mounting business and regulatory pressure. Bloomberg News also reported that Shein is considering a package for some late-stage investors involving cash payouts and additional Class B shares to lower their effective cost basis to a level closer to the anticipated IPO valuation. That proposal, which covers investors from the pre-Series D, Series D and Series D+ rounds, remains under discussion and would depend on the final valuation secured in the listing. Shein reported a $99 million net loss in the first three months of the year, versus a $395 million net profit in the same period of 2025, adding to doubts about the valuation it is seeking.
- initial public offering: A company's first sale of shares to public investors.
- Class B shares: A share class with rights that differ from other shares.
- cost basis: The original value used to measure an investment's gain or loss.