Fast fashion retailer Shein has secured approval from the Hong Kong Stock Exchange’s listing committee for its planned initial public offering (IPO), bringing the company a step closer to its long-awaited market debut, according to people familiar with the matter.
The proposed listing is expected to be one of Hong Kong’s biggest and most closely watched IPOs in recent years, serving as a key test of investor appetite for large consumer offerings after the company’s earlier listing plans in New York and London were delayed by regulatory scrutiny.
Following the approval, Shein can proceed with investor roadshows and the book-building process ahead of the share sale, in line with Hong Kong’s listing procedures.
The company’s listing committee hearing took place on Thursday, during which it responded to questions regarding its operations and financial position.
Shein is seeking a valuation of between US$40 billion and US$50 billion in the Hong Kong IPO, significantly lower than the reported US$100 billion valuation it received during a funding round in 2022 when it first pursued a listing in New York.
The sources, who declined to be identified because they were not authorised to speak publicly, said the company had received the committee’s approval. Shein and Hong Kong Exchanges and Clearing did not immediately respond to Reuters’ requests for comment.
