Shein shares fall on Hong Kong trading debut
The fast-fashion company began trading in Hong Kong at a valuation far below its earlier peak, after setbacks in attempts to list in the US and Britain.
Shein’s shares fell on their first day of trading in Hong Kong on Tuesday, as the China-founded retailer made its long-awaited stock market debut. The company opened at HK$48.56 a share, giving it a market value of a little over $26bn.
The listing marks a sharp drop from the nearly $100bn valuation Shein reached at its height. The business is now headquartered in Singapore, although it was founded in China.
The Hong Kong float follows failed efforts to secure a listing in the United States and the United Kingdom. Those setbacks left Hong Kong as the company’s main route to the public markets.
Shein has built its business on rapid turnover of low-priced clothing sold online, and its market debut comes amid wider scrutiny of the fast-fashion sector. The company’s shares were down by as much as 10% during the session, according to market reports.
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