Shein plans to offer around 280 million class B shares in Hong Kong, with a price range of HK$47.60 to HK$49.50 per share, potentially valuing the company at nearly $27 billion. This valuation marks a substantial decline from its peak of $98.2 billion in 2022 and $64 billion in 2023 and April 2024.
The drop in valuation indicates waning enthusiasm among investors and consumers for the ultra-fast fashion model, as noted by Shaun Rein, managing director at China Market Research Group. The final share price will be revealed on August 31, with trading expected to commence on September 1.
This IPO could signal a broader trend in the fast fashion industry, where changing consumer preferences and market conditions are impacting company valuations