Shein is working on plans to raise between $2bn and $3bn in an initial public offering (IPO) in Hong Kong, with the share sale possibly launching as early as August, reported Bloomberg, citing unnamed sources.

The online fast-fashion retailer received approval from China’s securities regulator on 10 July, advancing its long-running push to list.

According to sources, the final amount to be raised has not been determined and will depend on the company’s valuation and investor demand during the process.

The same sources said the plans are still subject to revision, with both the size and timing of the offering liable to change.

Bloomberg said Shein did not respond when contacted for comment.

Approval from the China Securities Regulatory Commission came about a year after Shein initially submitted its listing application to Hong Kong’s stock exchange.

That approval allows the company to continue towards a market debut after two earlier listing efforts, in the US and London, were dropped.

Shein has come under pressure from shareholders to reduce its valuation to $30bn, down from the more than $90bn it had previously reached.

Tariff pressures, increased competition from Temu and greater regulatory scrutiny have affected Shein’s business performance.

The company moved its corporate headquarters to Singapore in 2021 and had tried to separate itself from its Chinese origins before changing its planned listing location to Hong Kong.

The change came after Chinese regulators were unwilling to approve a London listing.

Retail Insight Network has contacted Shein for comment.

In a separate report, Reuters said yesterday (13 July) that Shein is scheduled to attend a listing hearing before the Hong Kong Stock Exchange on 16 July, where it will answer questions from the exchange’s listing committee.

Reuters said that once the company secures that approval, it will be able to proceed with investor roadshows and the bookbuilding process.