Shares in fast-fashion retailer Shein slide in long-delayed Hong Kong debut

HONG KONG — Shares in online fast-fashion retailer Shein fell 8% in their first day of Hong Kong trade on Tuesday, with investors worried about the impact of setbacks that long delayed its listing and have undermined its competitive advantages.

Known globally for selling $5 tops and $10 dresses, Shein has been humbled by tariff and duty changes in the U.S. and Europe. Intense scrutiny of its business practices in the West also hampered its attempts to list in New York and London, which were ultimately blocked by Chinese authorities.

The stock was trading at around 44.6 Hong Kong dollars ($5.68) in morning trade, valuing the company at around $24 billion ($3 billion), far below its 2022 peak of nearly $100 billion ($12.8 billion). Hong Kong’s Hang Seng Index was down 0.6%.

“As a new company listed in Hong Kong, we will continue to innovate, optimize and cooperate with our supply chain partners for mutual benefit and win-win results,” Shein Chief Financial Officer Leigh Gui said at the opening gong ceremony.

Founder and CEO Sky Xu, known for disliking the limelight, did not speak at the event though later took pictures with Shein employees onstage. He declined to respond to…

Original source: https://www.nbcnews.com/business