Chinese online retailer Shein has completed its IPO on the Hong Kong Stock Exchange. The company was valued at approximately $26.5 billion. This figure is nearly four times lower than the level in 2022, when Shein's valuation reached $100 billion. The company raised about $1.7 billion in investments. Trading of shares will begin on Tuesday, September 1, 2026. On Monday, quotes on the over-the-counter market had already fallen by seventeen percent.
Shein spent several years trying to find a venue for its listing. Initially, the company planned to conduct its IPO in the United States but faced increased scrutiny from American regulators regarding compliance with human rights and labor standards in supply chains. After that, the online retailer decided to move the listing to London but did not receive the necessary approvals from Chinese regulators.
In the summer of 2025, Shein applied for a listing in Hong Kong. The Chinese Securities Regulatory Commission approved the placement only in July 2026. The company's business is under pressure from several negative factors. The U.S. has canceled customs benefits for low-value parcels, which has impacted Shein's direct shipping model. The Federal Trade Commission has begun investigating the company's American business, looking for potential consumer rights violations.
The European Commission has launched an investigation against Shein under the Digital Services Act. In France, the company has faced fines of nearly $245 million. At the same time, Shein is facing increasing competition. The Chinese platform Temu is actively capturing market share, while Amazon is also strengthening its position in the segment. Traditional retailers, including Inditex, are developing online sales. All these factors create a challenging environment for the company's further growth.