Shein's up to US$1.8 billion Hong Kong IPO order book covered, sources say

Online fast-fashion retailer Shein's Hong Kong IPO book to raise up to US$1.8 billion has been fully covered by investor demand, two sources said, bringing it closer to its long-awaited market debut amid growing business and regulatory challenges.

Shein launched its new share sale on Monday, valuing the company at up to US$27 billion.

Investor orders for the offering have come from a number of existing shareholders, China-focused and multi-strategy funds, said the sources with knowledge of the matter. They declined to be named as they were not authorised to speak to the media.

A spokesperson for Shein did not immediately respond to a Reuters request for comment.

The Singapore-based, China-founded company is selling 280 million shares at HK$47.60 to HK$49.50 a share in the IPO, according to the company's filings, which would raise US$1.8 billion at the top end.

The final price of the shares is due to be unveiled on Monday and the stock is scheduled to begin trading on Hong Kong's stock exchange on September 1, according to the company filings.

Shein's valuation in the IPO is nearly 70 percent below the nearly US$100 billion private market valuation that it reached in 2022.

Reuters

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