Business

Shein weighs cost reset for late-stage investors ahead of Hong Kong IPO, Bloomberg News reports

Read a summary of this article on FAST.

Get bite-sized news via a new
cards interface. Give it a try.

Click here to return to FAST
Tap here to return to FAST

Aug 3 : Shein is considering lowering the cost of investment for some late-stage investors as the fast-fashion retailer pursues a Hong Kong IPO at a lower valuation, Bloomberg News reported on Monday, citing people familiar with the matter.

The company may offer a mix of cash payouts and additional Class B shares to investors in its pre-Series D, Series D and Series D+ funding rounds, the report said.

The adjustment aims to reduce the cost base for those investors to reflect a valuation of around $40 billion, aligning with Shein’s anticipated IPO valuation, Bloomberg News reported.

Deliberations are ongoing, and no final decisions have been made and the amount of cash and shares provided will depend on the valuation Shein secures during the IPO, the report said.

Show More

Show Less

Shein did not immediately respond to a Reuters request for comment. Reuters could not immediately verify the report.

    On July 26, the company reported a $99 million net loss in the first three months of the year, compared with a $395 million net profit in the same period of 2025, casting doubt on whether the valuation Shein is seeking is justified.

Source: Reuters

Sign up for our newsletters

Get our pick of top stories and thought-provoking articles in your inbox

Get the CNA app

Stay updated with notifications for breaking news and our best stories

Get WhatsApp alerts

Join our channel for the top reads for the day on your preferred chat app

Get bite-sized news via a new
cards interface. Give it a try.

Click here to return to FAST
Tap here to return to FAST

About The Author

admin

See author's posts