Shein Group LimitedPrivate± Mixed
Capitalrelevance
IPO valuation drop and loss reported, but listing progress is positive
Shein is preparing to launch its initial public offering on the Hong Kong stock exchange as early as mid-August, targeting a valuation of 30 to 40 billion dollars, a significant drop from its peak of nearly 100 billion dollars. Sources say the company began investor roadshows last week, and if the response is positive, the share sale could open by mid to late August. Some major investors are pushing for a valuation closer to 30 to 32 billion dollars. A draft prospectus filed with Hong Kong regulators revealed that Shein swung to a loss of 99 million dollars in the latest quarter, hit by slowing sales and a one-time accounting charge of 328 million dollars. The company previously attempted to list in New York and London without success, and on July 10 received approval from the China Securities Regulatory Commission to list in Hong Kong.
IPO valuation drop and loss reported, but listing progress is positive