Luckin Coffee plans US relisting after fraud scandal, CNBC reports

Chinese coffee chain Luckin Coffee is seeking to relist in the United States after its 2020 delisting over an accounting scandal, CNBC reported, citing chief executive Guo Jinyi.

Guo said the company is actively promoting a US main board listing under the guidance of the Xiamen municipal government, according to the report.

He did not disclose a timeline for the relisting process.

Luckin was delisted from Nasdaq in June 2020 after admitting to fabricating about US$310 million (HK$2.42 billion) in sales. The company later paid US$180 million to settle regulatory charges in the US.

The report said that Luckin has rebounded and surpassed Starbucks to become China’s biggest coffee retailer, backed by private equity firm Centurium Capital.

Separately, Bloomberg reported Centurium Capital is considering a bid for Costa Coffee, the British coffee brand owned by Coca-Cola, which could be valued at around £1 billion (HK$10.14 billion).