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Luckin Coffee resumed trading and plunged nearly 36%. Luckin, is coffee really cold?
Luckin Coffee exposed financial fraud, which instantly caused the stock price to collapse, including six times in intraday trading, and finally fell by more than 75%. Such a serious consequence, to be honest, is hard to turn over.

Luckin Coffee has received the delisting notice from Nasdaq on May 65438+5, 2005. Luckin Coffee said in the announcement that the company plans to hold a hearing on this. Before the results of the hearing are announced, Ruixing will continue to be listed on Nasdaq, and the hearing is usually arranged 30 to 45 days after the date of the hearing request.

Subsequently, the Hong Kong High Court issued an asset freeze order, restricting any sale or transfer of assets between entities registered in the Cayman Islands and Hong Kong until the courts of the two places make further decisions. Among them, 14 private equity and hedge funds that invested in Ruixun convertible bonds filed compensation lawsuits in Luckin Coffee. If there is huge compensation in the future, not only the company will pay compensation, but also the responsible directors will be liable for compensation.

After huge compensation, Luckin Coffee is likely to face the end of bankruptcy.

Extended data:

Luckin Coffee, which kept pace with Starbucks last year, really showed us the rise of domestic coffee chain brands, and his capital model also created new ways of playing. At that time, Lao Qi had a metaphor, which was equivalent to subsidizing everyone to drink coffee with shareholders' money, and then using traffic to create diversified income and maintain the market value of capital.

Anyway, we don't know this brand-new business model, and we have been learning with an open mind, but the result is disappointing. In the end, it is found that subsidies can't burn much traffic, and in the end, they have to inflate their income, which is a taboo in the capital market. It is inevitable to withdraw from the market, and the people involved will even be subject to criminal punishment.

Can China Net Luckin Coffee Make a comeback?