Shein targets $25B valuation in Hong Kong IPO, a steep fall from its $98B peak

Shein, the ultra-fast-fashion company that once commanded a private valuation north of $98 billion, is preparing to list in Hong Kong at a price tag that’s roughly a quarter of what it was worth at its peak. The company is marketing the IPO to investors now, with a target launch date of August 19.

Bloomberg Intelligence pegs Shein’s valuation at $22 billion to $25 billion. For context, that $98.2 billion high was set in 2022, and by 2024 the company had already slipped to $64 billion.

A long road to going public

Shein originally pursued a listing in New York, which fell apart amid regulatory scrutiny and political headwinds tied to the company’s China-linked supply chain. A London listing was explored next and also fizzled. Hong Kong became the fallback, and the China Securities Regulatory Commission granted its approval for the listing in July 2026.

To sweeten the deal for late-stage investors who bought in at much higher valuations, Shein is reportedly offering possible cash payouts or additional shares.

The numbers tell a complicated story

Shein’s first quarter of 2026 produced a net loss of $99 million, a reversal of previous profitability. Profitability declined by 38.7% in 2025 compared to the prior year.

The IPO could raise around $3 billion, according to earlier reporting.

Shein operates in approximately 160 countries, and its core pitch remains the same: ultra-low prices, algorithmic trend detection, and a supply chain that can move from design to delivery faster than most competitors.

External pressures keep piling up

US tariff changes loom as one of the most tangible risks to Shein’s business. The company has historically benefited from the de minimis exemption, which allowed packages valued under $800 to enter the US duty-free. Policy shifts targeting that exemption would directly hit Shein’s cost structure and pricing advantage in its largest Western market.

Competition in the ultra-fast-fashion space has also intensified. Temu, backed by PDD Holdings, has aggressively expanded using a similar playbook of rock-bottom prices and direct-from-China shipping.

Disclosure: This article was edited by Editorial Team. For more information on how we create and review content, see our Editorial Policy.