Luckin Coffee announces senior management changes after accounting scandal

CHINA – Luckin Coffee, a China-based coffee retail chain has announced changes to its Board of Directors and fired two senior management officials after internal investigations linked the top executives to an accounting scandal. In April this year, the coffee chain, which is listed on Nasdaq, revealed the discovery of RMB2.2 billion (US$310m) in fabricated transactions after a Special committee was set up to investigate into “certain issues raised to the Board’s attention” during the audit of the consolidated financial statements for its 2019 fiscal year. Among the financial irregularities included substantially inflating certain costs and expenses…

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Luckin Coffee forays into smart coffee, snack vending machine market

CHINA – Luckin Coffee, China’s largest coffee chain operator is entering the automated retail market with the launch of its “luckin coffee EXPRESS” smart unmanned coffee machine and “luckin pop” smart vending machine. The luckin coffee EXPRESS features Swiss Schaerer coffee machines, IIAC Gold Award coffee bean blends from WBC coffee masters and other high-quality ingredients. The coffee chain claims that luckin popterminals will achieve significant economies of scale through large volume procurement, customization while significantly reducing channel costs. The unmanned terminals will cover locations including office buildings, campuses, airports,…

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Luckin Coffee forms joint venture with Louis Dreyfus tapping into the juice market

CHINA – Luckin Coffee, a Chinese chain of coffee shops start-up has signed an agreement with Dutch-headquartered agricultural goods producer and seller Louis Dreyfus Company (LDC) to form a joint venture and develop Luckin Juice business in China. The business will focus on co-branded Not From Concentrate (NFC) orange, lemon and apple juices, for which LDC masters the full value chain from its farms to customers at destination, and plans to build its own bottling plant in the future. It also plans to bottle and brand other fruit and vegetable…

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