The astounding fraud admission from beverage chain Luckin has put more US-listed Chinese companies in regulator and short-seller crosshairs.
Who is Luckin chairman Charles Lu, and why is he still running the show after the company admitted to major revenue fraud?
Luckin Coffee’s multi-billion-dollar collapse should alert investors to a “New China Hustle”—risks of falsified growth and management acting in bad faith.
Luckin Tea will launch a separate app and a mini-program focused on lower-tier cities.
Shares slid overnight after losses hit nearly $100 million in the quarter.
Users can locate the nearest coffee machine and place an order through the Luckin app.
Luckin Coffee and Tencent have been partners since Sept. 2018.
Luckin is under financial pressures as the startup coffee chain is showing signs of overheating.
Coffee competition expands to second-and third-tier cities in China.
Luckin’s announcement comes amid its escalating battle with Starbuck for China’s caffeinated drink lovers.