Fast-fashion giant Shein shrinks value to up to $27 billion in Hong Kong IPO
Shein will pay up to HK$306 million in underwriting fees as it expands its banking syndicate and seeks to offset a sharp valuation drop for investors.
- On Monday, Shein announced it would pay up to $3.5 billion to selected existing investors to compensate them for a sharp slide in valuation ahead of its Hong Kong IPO.
- The payments address discrepancies between the IPO's projected $27 billion valuation and prior funding rounds, including a $98.2 billion valuation in 2022, which triggered protections for preferred shareholders.
- Shein's prospectus on Monday detailed an expanded underwriter team costing $39 million in total fees, while the company aims to raise up to $1.77 billion through the Hong Kong offering.
- Entities linked to Tiger Global, General Atlantic, and Mubadala are entitled to cash and share payments, which Shein said will be funded from its own financial resources rather than IPO proceeds.
- Shein's underwriting fee rate of roughly 2.2% appears lower than recent Hong Kong listings; Momenta Global paid around 3.4% in fees during its July offering.
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Shein IPO: Fast fashion retailer eyes $27 billion price tag in long-awaited Hong Kong listing — What we know
Shein Global Holdings is looking to raise as much as $1.8 billion in its Hong Kong initial public offering, as it enters the final leg of its long-winded journey to go public, as per a Bloomberg report.
Shein Seeks Up to $1.8 Billion in Hong Kong IPO at $27 Billion Valuation
Shein Seeks Up to $1.8 Billion in Hong Kong IPO at $27 Billion Valuation - The fast-fashion retailer’s targeted valuation is sharply below its private-market peak, as slowing growth and the loss of import-tax exemptions in Western markets weigh on its low-cost model
Now it is official: Shein will debut on the Stock Exchange on September 1st. The Chinese colossus of the "e-commerce" has finally obtained the approval of Beijing for its initial public offer (IPO) and is preparing to land on the Hong Kong Square. It is the fifth attempt to quote itself in six years. The first dates back to 2020, when the company tried to [...] The article Shein debuts on the Stock Exchange: Ipo from 14 billion dollars, but the …
The fast fashion retailer would be valued at about US$ 27 billion if the operation were to materialize on the roof of the price range.
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