Fast-fashion retailer Shein has secured approval from China’s securities regulator for its long-awaited Hong Kong initial public offering. The move comes after the company's previous efforts to go public in London and the United States encountered various geopolitical and regulatory hurdles.
The company is seeking to raise between $2 billion and $3 billion, with the listing potentially occurring as early as August. Shein is scheduled to face the Hong Kong stock exchange’s listing committee this Thursday, representing the final procedural gate before the company can price the deal.
Despite the regulatory progress, slowing business growth threatens to weigh on the valuation Shein can command in the offering. Meanwhile, Executive Chairman Donald Tang will step down from his role to become an advisor. A Chinese American billionaire and former banker, Tang served as the company's Western representative for three years, liaising with investors, regulators, and politicians.