Shares of fast fashion giant Shein fell 8.7% in their highly anticipated stock market debut on Tuesday, when it listed in Hong Kong after a long quest to go public. This comes after failed attempts to list in the US and UK, as concerns were raised over issues such as Shein’s labor practices and its environmental impact. tensions.Shein has become hugely popular, especially among younger people, due to its ability to source the latest fashions at ultra-low prices through a vast network of factories in China. At a ceremony to celebrate the IPO, Chief Financial Officer Leigh Gui said the company’s model of selling large quantities of small orders with quick payment options now reaches about 160 markets around the world. “Let global consumers enjoy the sound of fashion,” he said. 13.6 billion Hong Kong dollars ($1.7 billion; £1.3 billion) of the listing. That gave the company a stock valuation of $26.3 billion. In early trading on Tuesday morning, Shein shares were trading at HK$44.4 each. The disappointing debut suggests the market is not convinced Shein’s growth can “come back,” said Charu Chanana, chief investment strategist at investment bank Saxo. Shein has more than 273 million active customers who placed a total of more than 1 billion orders in the year to the end of March 2026, the company said in a pre-listing presentation. But Shein now faces higher costs, regulatory scrutiny and more competition, while investors are increasingly attracted to technology companies, Chanana said.
