Due to the stock market wobbles in the past few weeks, not only the market lost ground, but also brought disaster to some US- listed Chinese companies. Mecox Lane Limited, China’s leading online retailer of apparel and accessories(M18.com), who got listed on  NASDAQ for less than a year, has dropped from $17.26 to less than $ 2 now, resulting in Mecox Lane investeors Sina and China Dongxiang Group loss more than 69 million US dollars.

Mecox Lane (NASDAQ:MCOX) went public in the US last November as China’s first B2C stock. At its debut Mecox Lane is trading at $17.50, $6.5 higher than the IPO price. The closing price of Mecox Laneday is up to $17.26, raised 56.91%. Unfortunately, it actually became Mecox Lane’s highest price on NASDAQ–since then, the stock has dropped significantly.

On November 29, 2010, nearly one month after the IPO, Mecox Lane announced its third quarter financial results, which showed the company had a weaker-than-expected gross profit margin of 39.7 percent. Mecox Lane encountered several lawsuits by its U.S. investors for inaccuracies and misleading information in its IPO prospectus.

Also, its market value shrink from US$ 627 million to US$ 110 million, which means in less than 10 months, the market value of MCOX has evaporated 517 million US dollars.

In March this year, SINA Corporation(NASDAQ: SINA) and a subsidiary of China Dongxiang (Group) Co., Ltd. entered into separate agreements to acquire an approximately 29 percent stake in total of Mecox Lane from Sequoia Capital. Sina bought almost 11 million ADS, or a stake of about 19 percent, in Mecox at $6 per share. In just less than 6 months, Sina and China Dongxiang have a paper loss of more than $69 million.

Shen Xu, officer of invest relations at Mecox Lane Ltd. states that, more details about adjusting and actions of new strategies will be announced at the end of this month, in its Q2 financial results report.