Company Completes Restructuring of its Financial Indebtedness and Emerges from Chapter 15 Proceedings
Positioned for Prolonged-Term Sustainable Advancement and Profitability
BEIJING, April 11, 2022 (World NEWSWIRE) — Luckin Coffee Inc. (“Luckin Coffee” or the “Company”) (OTC: LKNCY) right now announced the prosperous completion of the restructuring of its monetary indebtedness and its emergence from the bankruptcy proceeding commenced with regard to the Business as debtor under chapter 15 of title 11 of the United States Code (the “Chapter 15 Case”).
“Today marks a new beginning for Luckin Espresso,” explained Dr. Jinyi Guo, Chairman and Main Govt Officer of the Business. “Luckin Coffee used the Chapter 15 course of action to effectuate the restructuring of its monetary indebtedness in the United States. As we have emerged from this procedure efficiently with the help of our creditors, we are self-confident that Luckin Espresso is very well positioned for extensive time period expansion and generation of stakeholder value.”
Dr. Guo ongoing, “We are thankful to all of our stakeholders for encouraging us realize this positive final result and come to be a much better firm. In individual, I would like to categorical my sincere gratitude to our management and management staff for their unwavering determination, even through hard situations, and to our personnel and retail companions for their really hard perform and determination. We will endeavor to continuously improve our governance and internal controls and make improvements to our item and assistance choices.”
As previously introduced, a last report was submitted with the United States Personal bankruptcy Court docket for the Southern District of New York (the “Bankruptcy Court”) on March 4, 2022 requesting the entry of an buy to near the Chapter 15 Scenario. As in-depth in the final report, the Corporation earlier acquired recognition and enforcement of its Cayman Islands scheme of arrangement less than chapter 15 of title 11 of the United States Code and productively restructured its monetary indebtedness pursuant to these types of scheme.1 No objections were being submitted to the motion to shut the Chapter 15 Case, and the Individual bankruptcy Court entered an buy granting this ask for on April 8, 2022.
The entry of the Individual bankruptcy Court’s order marks the official closure of the Company’s U.S. personal bankruptcy proceedings. As beforehand introduced, the winding up petition (as amended) in respect of the Organization has been dismissed and the Company’s provisional liquidation proceedings ended up also brought to a thriving near pursuant to an order of the Grand Court of the Cayman Islands dated February 25, 2022. Appropriately, the Company is no longer topic to individual bankruptcy or insolvency proceedings in any jurisdiction.
In link with the Company’s financial debt restructuring, Luckin Espresso is encouraged by Davis Polk & Wardwell LLP as authorized counsel, Harney Westwood & Riegels as Cayman Islands lawful counsel and Houlihan Lokey as fiscal advisor.
Risk-free Harbor Assertion
This announcement has forward-on the lookout statements within the meaning of Part 21E of the U.S. Securities Exchange Act of 1934, as amended. These forward-wanting statements are created less than the “safe harbor” provisions of the U.S. Personal Securities Litigation Reform Act of 1995. These statements can be identified by terminology this sort of as “will,” “expects,” “anticipates,” “future,” “intends,” “plans,” “believes,” “estimates,” “potential,” “continue,” “ongoing,” “targets,” “guidance” and equivalent statements. Luckin Coffee may well also make composed or oral ahead-hunting statements in its periodic reports to the U.S. Securities and Exchange Fee (the “SEC”), in its annual report to shareholders, in press releases and other penned resources and in oral statements manufactured by its officers, directors or staff to 3rd get-togethers. Any statements that are not historical facts, which includes statements about Luckin Coffee’s beliefs and expectations, are ahead-wanting statements. Ahead-searching statements contain inherent risks and uncertainties. A quantity of factors could cause precise outcomes to differ materially from those contained in any forward-searching statement, including but not minimal to the subsequent: the cost, timing and outcome of existing or foreseeable future lawful and governmental proceedings, investigations in link with Luckin Espresso the result and effect of the restructuring of Luckin Coffee’s financial obligations Luckin Coffee’s expansion tactics its long run enterprise enhancement, outcomes of operations and economical affliction the result of the non-reliance determined in, and the resultant restatement of, particular of Luckin Coffee’s previously issued economic results the success of its internal handle its capacity to retain and appeal to its consumers its capacity to preserve and greatly enhance the recognition and reputation of its brand its means to keep and make improvements to top quality handle guidelines and measures its ability to set up and sustain associations with its suppliers and organization associates tendencies and competition in China’s coffee field or China’s meals and beverage sector in normal improvements in its revenues and specific price or price merchandise the envisioned advancement of China’s espresso industry or China’s meals and beverage sector in common PRC governmental insurance policies and rules relating to Luckin Coffee’s market the prospective results of COVID-19 and normal financial and small business situations globally and in China and assumptions underlying or linked to any of the foregoing. Additional information relating to these and other pitfalls, uncertainties or aspects is involved in Luckin Coffee’s filings with the SEC. All data presented in this press launch and in the attachments is as of the date of this press launch, and Luckin Coffee undertakes no obligation to update any ahead-looking statement, besides as demanded beneath relevant law.
About Luckin Espresso
Luckin Coffee (OTC:LKNCY) has pioneered a engineering-driven retail community to offer coffee and other items of higher excellent, large convenience, and large affordability to customers. Empowered by proprietary technologies, Luckin Coffee pursues its eyesight to establish a world-class coffee brand name and develop into a element of everyone’s each day daily life. Luckin Coffee was launched in 2017 and is dependent in China. For much more information and facts, be sure to stop by trader.lkcoffee.com.
Investor and Media Contacts
Luckin Espresso IR
E mail: [email protected]
Monthly bill Zima / Fitzhugh Taylor
Cellphone: 646 880 9039
Luckin Coffee PR
Email: [email protected]
Ed Trissel / Jack Kelleher
Joele Frank, Wilkinson Brimmer Katcher
Mobile phone: 212 355 4449
1 The Personal bankruptcy Court docket regarded and gave total pressure and result to the Company’s plan of arrangement in the territorial jurisdiction of the United States on December 17, 2021. The Individual bankruptcy Court docket beforehand acknowledged and gave entire force and effect to the Company’s Cayman Islands provisional liquidation in the territorial jurisdiction of the United States on March 30, 2021.