Shares in the fast-fashion brand Shein slumped by as much as 10% as the China-founded company made its long-anticipated trading debut on the Hong Kong stock exchange. The Singapore-headquartered company, once valued at almost $100bn (£74bn), went public on Tuesday pricing shares at HK$48.56, valuing the business at just over $26bn. However, minutes after the flotation, which raised HK$13.6bn, the stock fell as much as 10%, pushing the online retailer’s valuation below $25bn. Shein’s share price recovered most of its early trading plunge, closing at HK$48.50, just 0.12% down on…
Tag: Shein
Fast-fashion giant Shein aims for $27bn valuation in Hong Kong market debut
Shein will debut on the Hong Kong stock exchange on 1 September, the fast-fashion retailer said on Monday, in a long-awaited listing that would value the group at close to $27bn. Founded in China and now headquartered in Singapore, the online retailer secured Beijing’s approval last month to make its initial public offering in Hong Kong. Its valuation has dropped by about 70% from a near $100bn private market peak four years ago, as it aims to raise up to HK$13.86bn ($1.77bn) in its Hong Kong IPO launched on Monday.…
UK retailers urge faster end to tax break on low-value imported goods
British retailers including Primark, Currys and Boohoo have criticised the government for waiting until 2029 to end a tax break on low-value imported goods that has allowed them to be undercut by the likes of Shein and Temu. The British Retail Consortium, which represents all the major retailers, said there were 1.6m parcels arriving in the UK every day, double the number from last year, and “businesses cannot afford any delay on scrapping the existing rules”. The “de minimis” rule allows overseas sellers to send goods valued at £135 or…
Nexperia row shows how China is weaponising trade – and winning
As interventions go it was pretty audacious. The Dutch government decision at the end of September to take over Nexperia, a Chinese-owned chip factory, almost brought the entire European car industry to a halt. Tensions between Europe and China de-escalated over the weekend as Beijing confirmed it would ease restrictions on automotive chip supplies to the EU, prompting sighs of relief in car factories around the world. But it has only intensified the questions about the EU’s asymmetric relationship with China, with many in industry, diplomacy and governments asking if…
Protests erupt at the new Shein store in Paris with demonstrators ejected – video
As Shein opened its new store in BHV department store in Paris, protesters gathered to denounce the online fast-fashion retailer, saying it was complicit of Uyghur genocide and child sexual crimes. Allegations have arisen that the retailer’s supply chain in China includes items produced by Uyghur forced labour. Shein is also under investigation by French authorities due to the sale of child-like sex dolls on its website. The company has stated that they are ready to fully cooperate with the authorities. Additionally, last year Shein answered that they have a…
Shein warns on Trump tariff uncertainty after profits slip
Shein has reported a 20% rise in global revenues to $37bn (£27.7bn) but profits have fallen as the fast-fashion retailer faced increased costs, even before it felt the impact of recent changes to US tax laws. The Singaporean parent company of the rapidly growing retailer said pre-tax profits had fallen by 13% to $1.3bn last year from $1.5bn in 2023 after an increase in selling and marketing costs, according to new accounts. Shein is thought to be trying to list on the Hong Kong stock exchange after efforts to list…
Shein looks at moving back to China for Hong Kong listing after London IPO stalls
The online fashion retailer Shein is understood to be considering moving its base back to China from Singapore to pave the way for a Hong Kong listing. The business, which was founded in China and moved its headquarters to Singapore in 2022, had been considering a £50bn float in London after failing to win approval from regulators in the US for a New York flotation. However, Chinese authorities have not given the nod to a UK listing and the fast-fashion group has faced questions about conditions in its supply chain…
Inside China’s fast-fashion factories as a US trade war looms – podcast
Ever since Donald Trump came to power, China has been threatened by a trade war – with tariffs on its products into the US at one point set at an extraordinary 145%. In May, however, the two countries agreed to a partial truce – one that is expiring on Tuesday 12 August. As the Guardian’s senior China correspondent, Amy Hawkins, explains to Nosheen Iqbal, for now there is little sign of an imminent deal, though an extension of the truce, at least, is possible. So she heads to Guangzhou, the…
EU commissioner shocked by dangers of some goods sold by Shein and Temu
The EU justice commissioner has expressed shock at the toxicity and dangers of some goods being sold by Shein and Temu, amid a crackdown on the popular Chinese retail platforms. With 12m low-value parcels each day coming into the EU from online retailers outside the bloc, Michael McGrath has vowed to crack down on the sale of goods that blatantly break the law. He is waiting for the imminent results of an EU-wide secret shopper operation to further test evidence already gathered that Chinese retailers are bypassing EU laws. Among…
Shein turns to Hong Kong for flotation as London attempt stalls, reports say
Shein is reportedly aiming to list on the Hong Kong stock exchange as the online fast-fashion retailer struggles to gain the go-ahead from Chinese regulators for a flotation in London. The company, which was founded in China where the majority of its suppliers are based but now has its headquarters in Singapore, is aiming to file a draft prospectus with Hong Kong’s stock exchange in the coming weeks, according to Reuters. It said Shein plans to go public in the Asian financial hub this year, which would scotch hopes of…