Shein Shares Drop in Hong Kong Stock Market Debut
Fast-fashion retailer Shein experienced a 10% decline in its share price during its trading debut on the Hong Kong stock exchange. The company raised HK$13.6 billion ($1.7 billion), achieving a valuation of over $26 billion despite the drop.
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Ultra-fast-fashion brand Shein has been valued at $26.2 billion after its first day of public trading, raising approximately HK$13.6 billion ($1.7 billion) from its share listing. The company, which has over 273 million active customers and has received more than a billion orders in the year ending March 2026, faced challenges such as competition, regulatory scrutiny, and criticism over its supply chain ethics. Despite a decline in share price early in trading, closing down just 0.12%, Shein's listing is seen as a benchmark for investor interest in the fast-fashion sector amidst concerns regarding sustainability and ethical practices.
Shein's shares fell as much as 10% following its trading debut on the Hong Kong stock exchange, pricing shares at HK$48.56 and valuing the company at over $26 billion, a significant drop from its previous valuation of nearly $100 billion. The company reported a loss of $99 million in the first quarter of this year, compared to a net income of $395 million the previous year, amid regulatory changes impacting its shipping practices. Despite these challenges, Shein became one of the world's largest listed fashion groups, with a valuation comparable to Swedish retailer H&M.