luckin coffee restructuring

Luckin Coffee's outer space-themed store on Oct. 31, 2019 in Beijing. This announcement contains forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended. 157 of 2020 (ASCJ) (the “Cayman Proceeding”)1 and related relief. Investor Relations:Luckin Coffee IREmail: ir@luckincoffee.com, Bill Zima / Fitzhugh TaylorICR, Inc.Phone: 646 880 9039, Media Relations:Luckin Coffee PREmail: pr@luckincoffee.com, Ed Trissel / Jack KelleherJoele Frank, Wilkinson Brimmer KatcherPhone: 212 355 4449. Private Securities Litigation Reform Act of 1995. Luckin Coffee Enters into Restructuring Support Agreement with Holders of a Majority of Existing Notes to Restructure Indebtedness and Enhance Capital Structure. All information provided in this press release and in the attachments is as of the date of this press release, and Luckin Coffee undertakes no obligation to update any forward-looking statement, except as required under applicable law. Read more • vendingmarketwatch.com ET BEIJING, March 16, 2021 (GLOBE NEWSWIRE) -- Luckin Coffee Inc. (in Provisional Liquidation) (“Luckin Coffee” or the “Company”) (OTC: LKNCY) today announced that it has entered into a restructuring support agreement (the “RSA”) with holders of a majority of Luckin Coffee’s $460 million1 0.75% Convertible Senior Notes due 2025 (the “Existing Notes”). Luckin Coffee, in the latest stage of the provisional liquidation, has released the terms of the restructuring of the convertible bonds. The Company is presently engaged in exclusive discussions for a period of 30 days9 with a credible investor, with a view to raise at least $250 million of equity funding through a private placement. Coordination between the Cayman Court and the U.S. Bankruptcy Court to Protect the Interests of Stakeholders and Facilitate Luckin Coffee’s Restructuring of its Financial Obligations. Luckin Coffee (NASDAQ: LKNCY) just announced that it might exit bankruptcy if it can raise capital and secure an agreement to a new restructuring deal. Luckin Coffee Enters into Restructuring Support Agreement with Holders of a Majority of Existing Notes to Restructure Indebtedness and Enhance Capital Structure China’s Luckin Coffee Inc., a coffeehouse chain and provider of self-service coffee equipment, said it has entered into a restructuring support agreement with holders of a majority of its $460 million convertible senior notes due 2025. Any statements that are not historical facts, including statements about Luckin Coffee’s beliefs and expectations, are forward-looking statements. Noteholders are Expected to Receive Approximately 91-96% of the Par Value of the Existing Notes Luckin Coffee Maintains Strong Liquidity Position and Continues to Execute on Growth Strategy Company Actively Pursuing Several Options to Achieve Certainty of Funding BEIJING, March 16, 2021 (GLOBE NEWSWIRE) -- Luckin Coffee Inc. (in Provisional Liquidation) (“Luckin Coffee” or the … 9 This period is subject to certain conditions and may be extended by the Joint Provisional Liquidators. In December, Luckin Coffee agreed to pay $180 million to the SEC to settle its fraud allegations. Importantly, this remittance of PRC funds is not expected to have any impact on the Company’s ability to continue to meet its trade obligations in the ordinary course of business, including paying suppliers, vendors and employees. Further information regarding these and other risks, uncertainties or factors is included in the Company’s filings with the SEC. Awards. Luckin Coffee (OTC: LKNCY) has pioneered a technology-driven retail network to provide coffee and other products of high quality, high affordability, and high convenience to customers. 2 As further detailed below and in the RSA, depending on the value of equity in Luckin Coffee during the period preceding the effective date of the Restructuring, total recovery to holders of Existing Notes could exceed 96% of par value. Luckin Coffee’s Restructuring Efforts Move Forward with Commencement of its Chapter 15 Case in the United States Coordination between the Cayman … China’s largest coffee chain said in a statement today that the majority holders of its $460 million 0.75% convertible senior notes have agreed to a restructuring support agreement (RSA). Feb 5, 2021 8:43 AM UTC. These milestones include obtaining reasonable assurance of offshore7 funding in an amount equal to or greater than the Cash Consideration by June 14, 2021. Luckin Coffee Inc. (OTC:LKNCY) has pioneered a technology-driven retail network to provide coffee and other products of high quality, high affordability, and high convenience to customers. Pursuant to the restructuring contemplated in the RSA (the “Restructuring”), which the Restricted Group has agreed to support and vote in favor of, Luckin Coffee expects to restructure … All Company Stores Remain Open and Serving Customers in China; No Material Impact on … Luckin Coffee expects to implement the Restructuring through a scheme of arrangement in respect of the Existing Notes (the "Scheme") pursuant to section 86 of … In December, Luckin Coffee agreed to pay $180 million to the SEC to settle its fraud allegations. Federal regulators said that Luckin overstated revenue by 28% in the second quarter of 2019 and by 45% in the third quarter, while underestimated losses in both quarters. China’s Luckin Coffee Inc., a coffeehouse chain and provider of self-service coffee equipment, said it has entered into a restructuring support agreement with holders of a majority of its $460 million convertible senior notes due 2025. The consultancy firm will oversee a "light-touch" liquidation and restructuring that will have no material impact on daily operations, the Chinese coffee chain said. Private Securities Litigation Reform Act of 1995. Mar 22nd, 2021. Luckin Coffee is negotiating with its stakeholders regarding the restructuring of the Company’s financial obligations, to strengthen the Company’s balance sheet and enable it to emerge from the Cayman Proceeding as a going concern, for the benefit of all stakeholders.. Luckin Coffee Inc. on July 15 said it appointed Alvarez & Marsal as its provisional liquidator in compliance with an order from the Grand Court of the Cayman Islands. Luckin Coffee’s Restructuring Efforts Move Forward with Commencement of its Chapter 15 Case in the United States Provided by GlobeNewswire Feb 5, 2021 8:43 AM UTC Luckin Coffee’s Restructuring Efforts Move Forward with Commencement of its Chapter 15 Case in the United States. 7 “Onshore” refers to financing, assets, etc. The Company continues to meet its trade obligations in the ordinary course of business, including paying suppliers, vendors and employees. Coordination between the Cayman Court and the U.S. Bankruptcy Court to Protect the Interests of Stakeholders and Facilitate Luckin Coffee’s Restructuring of its Financial Obligations. Federal regulators said that Luckin overstated revenue by 28% in the second quarter of 2019 and by 45% in the third quarter, while underestimated losses in both quarters. Noteholders are Expected to Receive Approximately 91-96% of the Par Value of the Existing Notes. Bankruptcy Court”). BY GlobeNewswire — 3:43 AM ET 02/05/2021. BEIJING, March 16, 2021 (GLOBE NEWSWIRE) -- Luckin Coffee Inc. (in Provisional Liquidation) (“Luckin Coffee” or the “Company”) (OTC: LKNCY) today announced that it has entered into a restructuring support agreement (the “RSA”) with holders of a majority of Luckin Coffee’s $460 million1 0.75% Convertible Senior Notes due 2025 (the “Existing Notes”). Coordination between the Cayman Court and the U.S. Bankruptcy Court to Protect the Interests of Stakeholders and Facilitate Luckin Coffee's Restructuring of … The relief sought in the Chapter 15 Petition is an important component of the Company’s restructuring. A number of factors could cause actual results to differ materially from those contained in any forward-looking statement, including but not limited to the following: the expense, timing and outcome of existing or future legal and governmental proceedings, investigations in connection with the Company; the outcome and effect of the ongoing restructuring of the Company’s financial obligations; the Company’s growth strategies; its future business development, results of operations and financial condition; the effect of the non-reliance identified in, and the resultant restatement of, certain of the Company’s previously issued financial results; the timing of the completion or outcome of the audit of the Company’s financial statements; the effectiveness of its internal control; its ability to retain and attract its customers; its ability to maintain and enhance the recognition and reputation of its brand; its ability to maintain and improve quality control policies and measures; its ability to establish and maintain relationships with its suppliers and business partners; trends and competition in China’s coffee industry or China’s food and beverage sector in general; changes in its revenues and certain cost or expense items; the expected growth of China’s coffee industry or China’s food and beverage sector in general; PRC governmental policies and regulations relating to the Company’s industry; the potential effects of COVID-19; and general economic and business conditions globally and in China and assumptions underlying or related to any of the foregoing. These forward-looking statements are made under the “safe harbor” provisions of the U.S. Luckin Coffee’s Restructuring Efforts Move Forward with Commencement of its Chapter 15 Case in the United States Coordination between the … As required under the RSA, the Company shortly will commence the formal PRC regulatory approval process to transfer funds offshore through a planned capital reduction, in an amount sufficient to satisfy the Cash Consideration. Luckin Coffee said the Chapter 11 filing is an important step in its restructuring plan. Americas Restructuring Review 2021 Asia-Pacific Restructuring Review 2021 Europe, Middle East and Africa Restructuring Review 2020 For more information, please visit investor.luckincoffee.com. These statements can be identified by terminology such as “will,” “expects,” “anticipates,” “future,” “intends,” “plans,” “believes,” “estimates,” “potential,” “continue,” “ongoing,” “targets,” “guidance” and similar statements. Luckin Coffee Inc. said it has entered into a restructuring support agreement with holders of a majority of its $460 million convertible senior notes due 2025. These statements can be identified by terminology such as “will,” “expects,” “anticipates,” “future,” “intends,” “plans,” “believes,” “estimates,” “potential,” “continue,” “ongoing,” “targets,” “guidance” and similar statements. The Company was founded in 2017 and is based in China. Bankruptcy Court”). Luckin Coffee’s Restructuring Efforts Move Forward with Commencement of its Chapter 15 Case in the United States Provided by GlobeNewswire. 1 All amounts listed in dollars herein are in U.S. dollars. Luckin Coffee continues to operate its business and implement the Restructuring under the day-to-day control of its Board of Directors, under the supervision of the Joint Provisional Liquidators. Luckin Coffee stock jumps over 40% as it signs restructuring deal with major debt holders Arlene Huang March 16, 2021 Chinese coffee brand Luckin Coffee jumped 42 percent early in the session in the US pink sheet market as it reached an agreement with its main debt holders to restructure its debt and strengthen its capital structure. Details of the restructuring In February, Luckin Coffee filed for Chapter 15 bankruptcy protection, a section of the U.S bankruptcy code that deals … The Chinese rival to Starbucks said Friday that it is negotiating with stakeholders regarding the restructuring of its financial obligations, to strengthen its balance sheet and to allow it to emerge as a going concern. This contemplated transaction is subject to ongoing negotiations and could be conditioned upon a number of factors, such as the market conditions and the filing of the Company’s 2019 annual report.10 Accordingly, there is no assurance with respect to the terms or the completion of this transaction. For more information, please visit investor.luckincoffee.com. Luckin Coffee’s Restructuring Efforts Move Forward with Commencement of its Chapter 15 Case in the United States Feb 5, 2021 Coordination between the Cayman Court and the U.S. Bankruptcy Court to Protect the Interests of Stakeholders and Facilitate Luckin Coffee’s Restructuring of its Financial Obligations The Restructuring is expected to provide recovery to the holders of the Existing Notes in the amount of approximately 91-96% of par value.2, “We are pleased to reach this agreement with our noteholders, which represents an important milestone for Luckin Coffee,” said Dr. Jinyi Guo, Chairman and Chief Executive Officer of Luckin Coffee. All Company stores remain open for business, offering products with high quality, affordability and convenience to its customers in China. Luckin Coffee Enters into Restructuring Support Agreement with Holders of a Majority of Existing Notes to Restructure Indebtedness and Enhance Capital Structure, https://dm.epiq11.com/case/luckin/documents, A number of American Depository Shares of. Read more • vendingmarketwatch.com China’s Luckin Coffee has secured US recognition of its Cayman liquidation – but a New York court has asked for more information before it decides the scope of further Chapter 15 relief, in light of objections lodged over a stay on claims against non-debtor parties. 6 As previously reported, on February 5, 2021, Alexander Lawson of Alvarez & Marsal Cayman Islands Limited and Wing Sze Tiffany Wong of Alvarez & Marsal Asia Limited, commenced a case under chapter 15 of title 11 of the United States Code (the “Chapter 15 Case”) with the United States Bankruptcy Court for the Southern District of New York (the “U.S. Luckin Coffee’s Restructuring Efforts Move Forward with Commencement of its Chapter 15 Case in the United States February 05, 2021 03:43 ET | Source: Luckin Coffee Inc. Luckin Coffee … The Specialty Coffee Association announces finalists in 2021 awards program. Luckin Coffee expects to implement the Restructuring through a scheme of arrangement in respect of the Existing Notes (the "Scheme") pursuant to … located outside the PRC. "This is actually good news and takes Luckin Coffee's road to rebirth one step further." Coordination between the Cayman Court and the U.S. Bankruptcy Court to Protect the Interests of Stakeholders and Facilitate Luckin Coffee’s Restructuring of … Luckin Coffee Inc. on July 15 said it appointed Alvarez & Marsal as its provisional liquidator in compliance with an order from the Grand Court of the Cayman Islands. Pursuant to the restructuring contemplated in the RSA (the “Restructuring”), which the Restricted Group has agreed to support and vote in favor of, Luckin Coffee expects to restructure the Existing Notes in a manner designed to allow the Company to comprehensively address its capital structure and better position it for long-term success. Xiamen-headquartered beverage chain Luckin Coffee disclosed on Tuesday that it has entered into a debt restructuring agreement with creditors holding about 59% of the USD 460 million convertible senior notes due 2025, who can claim back between 91% and 96% of their money. Having already secured Hong Kong recognition, the provisional liquidators of China’s Luckin Coffee have asked a New York court to stave off shareholder actions in the US while they restructure the group’s holding company through a pair of Cayman schemes, to deal with revelations it falsely inflated its accounts last year. Mar 16, 2021. Luckin Coffee Inc. (OTC: LKNCY) surged 48% Tuesday to $8.62 per American depositary share after the company announced the restructuring of its debt “to comprehensively address its capital structure and better position it for long-term success.” Luckin Coffee Maintains Strong Liquidity Position and Continues to Execute on Growth Strategy. Now that the terms of the RSA are public, Luckin Coffee can and will seek support for the RSA from additional holders of the Existing Notes. located in the PRC, whereas “offshore” refers to financing, assets, etc. Forward-looking statements involve inherent risks and uncertainties. The holders of Existing Notes who are party to the RSA (the “Restricted Group”) collectively hold or control approximately 59% in aggregate principal amount of the Existing Notes. Empowered by big data analytics, AI, and proprietary technologies, the Company pursues its mission to be part of everyone’s everyday life, starting with coffee. As further detailed in the RSA, the RSA will be effective and binding upon the Company and the Restricted Group until the earlier of: (i) the implementation of the Restructuring following its approval in the Cayman Court and enforcement in the U.S. Bankruptcy Court and (ii) December 31, 2021 (the “RSA Long-Stop Date”); provided that the Company and the JPLs may extend the RSA Long-Stop Date (i) for a period of up to 30 days, unless the Majority Ad Hoc Group (as defined in the RSA) objects to such extension and provides 5 business days’ prior written notice of such objection to the Company and the JPLs and (ii) until such later time as agreed in writing between the Company, the JPLs and the Majority Ad Hoc Group. Luckin Coffee Inc. (OTC:LKNCY) has pioneered a technology-driven retail network to provide coffee and other products of high quality, high affordability, and high convenience to customers. Investor Relations:Luckin Coffee Inc. IREmail: ir@luckincoffee.com, Bill Zima / Fitzhugh TaylorICR, Inc.Phone: 646 880 9039, Media Relations:Luckin Coffee Inc. PREmail: pr@luckincoffee.com, Ed Trissel / Jack KelleherJoele Frank, Wilkinson Brimmer KatcherPhone: 212 355 4449, Luckin Coffee’s Restructuring Efforts Move Forward with Commencement of its Chapter 15 Case in the United States. Luckin said it will continue to pay suppliers, vendors and employees while it negotiates with its stakeholders regarding a restructuring of its financial obligations.Chinese coffee chain Luckin Co Luckin Coffee Files for Bankruptcy to Facilitate Restructuring A number of factors could cause actual results to differ materially from those contained in any forward-looking statement, including but not limited to the following: the expense, timing and outcome of existing or future legal and governmental proceedings, investigations in connection with Luckin Coffee; the outcome and effect of the ongoing restructuring of Luckin Coffee’s financial obligations; Luckin Coffee’s growth strategies; its future business development, results of operations and financial condition; the effect of the non-reliance identified in, and the resultant restatement of, certain of Luckin Coffee’s previously issued financial results; the timing of the completion or outcome of the audit of Luckin Coffee’s financial statements; the effectiveness of its internal control; its ability to retain and attract its customers; its ability to maintain and enhance the recognition and reputation of its brand; its ability to maintain and improve quality control policies and measures; its ability to establish and maintain relationships with its suppliers and business partners; trends and competition in China’s coffee industry or China’s food and beverage sector in general; changes in its revenues and certain cost or expense items; the expected growth of China’s coffee industry or China’s food and beverage sector in general; PRC governmental policies and regulations relating to Luckin Coffee’s industry; the potential effects of COVID-19; and general economic and business conditions globally and in China and assumptions underlying or related to any of the foregoing. 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