Luckin Coffee has filed for Chapter 15 bankruptcy in the United States to facilitate its debt restructuring. The Chinese company that once listed on the Nasdaq was accused of accounting fraud last year.
The coffee shop chain does not expect the Chapter 15 petition to materially affect its day-to-day operations.
In addition, it added in a statement that it is negotiating with its shareholders the restructuring of the company’s financial obligations.
The company had positioned itself and had until its moment of glory in the US when it debuted on the stock market. at the end of June after admitting to accounting fraud.
The Xiamen-based company agreed in December to pay the US Securities and Exchange Commission a $180 million fine to settle allegations of accounting fraud for “intentionally and materially” overstating its 2019 revenue and understating a net loss.
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