Beijing, January 19 (Beijing)-Shein, a cross-border e-commerce company, is in talks to raise up to $3 billion (currently about 20.31 billion yuan), which will allow the Chinese fast fashion group to accept a sharply shrinking valuation of $64 billion (currently about 433.28 billion yuan), down more than 1/3 from its peak, according to people familiar with the matter. For now, the economic downturn is prompting investors to reassess the valuations of high tech start-ups.

Shein is seeking to complete a new round of financing from existing investors, including Abu Dhabi sovereign wealth fund Mubadala, venture capital group Sequoia Capital China Fund and private equity group Pan-Atlantic, according to people familiar with the matter. The three investors also participated in Shein's last round of financing in April last year. At the time, Shein was valued at just over $100 billion, making it the third most valuable private company in the world at the time, after byte jump of TikTok's parent company and SpaceX of Elon Musk. Just two years ago, Shein was valued at just $15 billion (currently about 101.55 billion yuan).

Shein is seeking to complete a new round of financing from existing investors, including Abu Dhabi sovereign wealth fund Mubadala, venture capital group Sequoia Capital China Fund and private equity group Pan-Atlantic, according to people familiar with the matter. The three investors also participated in Shein's last round of financing in April last year. At the time, Shein was valued at just over $100 billion, making it the third most valuable private company in the world at the time, after byte jump of TikTok's parent company and SpaceX of Elon Musk. Just two years ago, Shein was valued at just $15 billion (currently about 101.55 billion yuan).

Shein still expects to launch an IPO in its largest market, the US, as early as this year, according to people familiar with the matter. The company generated $30 billion in revenue last year (currently about 203.1 billion yuan), including $6 billion in cash, which will be used to diversify its payment businesses.

"as a private company, Shein does not comment on market speculation," Shein said in a statement. After the release of the report, Shein said it "denied the accuracy of some information" but did not elaborate further.