Shein’s ultra-fast fashion empire has taken a dramatic fall following its post-IPO valuation collapse.
The e-commerce platform, which is headquartered in Singapore but outsources much of its manufacturing to China, failed to go public in London and New York following concerns around its supply chain and heavy criticism of its environmental impact.
Shein therefore pivoted to the Hong Kong Stock Exchange, where it was valued at around $27 billion (approximately €23.24 billion) on 1 September. It may seem like a huge financial win, but it’s 70 per cent lower than its private market peak of almost $100 billion (€86 billion) back in 2022.
Why was Shein’s IPO such a flop?
“Capital markets aren’t acting out of pure altruism: they’re reacting to material financial risk,” sustainability expert and founder of tech company E&S Solutions Ildiko Almasi Simsic tells Euronews Earth.
