Shein says it's under investigation by the Federal Trade Commission as it prepares for Hong Kong IPO

GUANGZHOU, CHINA - JULY 14: A woman looks at her smartphone while walking past a SHEIN sign outside the company's office on July 14, 2026, in Guangzhou, Guangdong Province, China. Cheng Xin | Getty Images News | Getty ImagesShein's U.S. business is under investigation by the Federal Trade Commission, the fast fashion giant revealed in documents connected to its upcoming Hong Kong IPO. In the filing, the Chinese-founded company didn't say what the FTC is investigating, but the disclosure appears to be the first time the probe was made public. "We are actively cooperating with the FTC … Although it is possible that we may reach a settlement with the FTC in connection with the investigation, we currently cannot predict the probable outcome of the investigation and the timing of such outcome, and we cannot rule out that such outcome could occur in the near term," Shein wrote in the document, filed with the entity that operates the Hong Kong Stock Exchange. "The outcome of the investigation, whether in settlement or otherwise, may require us to make significant monetary payments that could have a material adverse effect on our financial condition and results of operations," the company ...