Shein’s Hong Kong IPO pricing values company at $26.5 billion, sources say

Online fast-fashion retailer Shein is poised to price its Hong Kong initial public offering (IPO) near the midpoint of its priced range, according to two sources familiar with the matter. The company aims to raise approximately HK$13.6 billion ($1.73 billion) by issuing shares at HK$48.56 each, within the HK$47.60 to HK$49.50 range.

This pricing would value Shein at roughly $26.5 billion, a significant drop from its peak private market valuation of nearly $100 billion in 2022 and its 2023 fundraising round valuation of $66 billion. Shein, headquartered in Singapore and founded in China, launched its IPO in Hong Kong on Monday, despite failed attempts to list in New York and London over the past four years.

The company, best known for its affordable clothing options ranging from $5 dresses to $10 jeans in 160 countries, has encountered regulatory challenges and business pressures in its key markets in the U.S. and Europe.