Fast-fashion giant Shein's shares drop 7% in Hong Kong market debut

Shares of fast-fashion giant Shein fell 7% as they began trading in Hong Kong on Tuesday. 

The Singapore-headquartered, company sold about 280 million shares in its initial public offering, raising around 13.60 billion Hong Kong dollars ($1.74 billion) after the final offer price was set at HK$48.56 per share, below the maximum offer price of HK$49.5.

The IPO values Shein at around $26.5 billion, compared with its private market valuation of $100 billion in 2022. 

Shein's Hong Kong debut comes after earlier attempts to go public in New York and London did not materialize. The China-founded company, which moved its headquarters to Singapore in 2022, first filed confidentially for a U.S. IPO in 2023 before turning to London, where Beijing withheld approval over risk disclosures tied to its China supply chain, effectively blocking the listing.

Shein plans to use 40% of the IPO proceeds to enhance its technology capabilities and another 40% to boost brand awareness and strengthen its global presence, with the remainder going toward corporate responsibility initiatives and general corporate purposes, according to its prospectus.

Shein reported net revenue of $41.8 billion in 2025, compared with $38.7 billion a year earlier, its prospectus showed.

In the first quarter of this year, Shein reported revenue of $9.05 billion and swung to a net loss of $99 million from a profit a year earlier. The company attributed the loss mainly to fair-value losses on its convertible redeemable preferred shares, as per its prospectus.