Shein seeks up to US$1.8 billion in long-awaited Hong Kong IPO

Shein, the fast fashion retailer based in mainland China but headquartered in Singapore, is preparing to go public on the Hong Kong stock exchange. The company is seeking to raise up to US$1.8 billion in its long-awaited IPO, which is expected to debut on September 1. Shein's valuation has taken a hit due to various factors, including tariffs, competition from PDD Holdings' Temu, and regulatory pressure.

The IPO prospectus reveals that Shein incurred a loss of US$99 million in the first quarter of 2026, compared to a profit of US$395 million in the same period the previous year. Revenue has also been declining. Despite its origins in mainland China, Shein moved its headquarters to Singapore in 2021, but was forced to reconsider after China's regulators withheld approval for a London IPO.

Shein plans to use the proceeds from the IPO to invest in technology, such as inventory management systems, to strengthen its supply chain governance, and to improve its image globally through marketing efforts. The IPO prospectus lists IDG Capital, Mubadala Investment, Coatue Management, and HSG – formerly known as Sequoia China – among the company's shareholders.

These investors are expected to receive a mix of cash payouts and additional shares to help offset the cost of their investments. Goldman Sachs Group, Morgan Stanley, and JPMorgan Chase are the joint sponsors of Shein's IPO.