Chinese coffee startup Luckin plans to open 2,500 stores this year
[BEIJING] Chinese coffee startup Luckin is aiming to open 2,500 new stores this year and overtake Starbucks Corp as the largest coffee chain by number of outlets in the world's second-biggest economy, the company said on Thursday.
At a presentation in Beijing, Luckin said it was targeting a total of over 4,500 stores by the end of 2019, which would take it past Starbucks, which has long dominated China's coffee scene and has over 3,600 stores in the country.
Luckin, backed by Singapore sovereign wealth fund GIC Pte Ltd and China International Capital Corp Ltd, has expanded rapidly, opening over 2,000 locations in the last year and gaining a valuation of US$2.2 billion after raising US$200 million in a funding round last month.
The firm's chief executive, Qian Zhiya, told Reuters last year that Luckin aimed to outnumber Seattle-headquartered Starbucks in China.
Reuters previously reported that Luckin, which has propelled its growth with discounting and focusing on delivery, was also in early-stage talks with investment banks about an overseas initial public offering.
REUTERS
KEYWORDS IN THIS ARTICLE
BT is now on Telegram!
For daily updates on weekdays and specially selected content for the weekend. Subscribe to t.me/BizTimes
Consumer & Healthcare
Holiday Inn owner IHG’s Q1 revenue up 2.6%, leisure travel demand remains strong
WSJ moves Asia headquarters from Hong Kong to Singapore
South Korea to slap fines on food suppliers for ‘shrinkflation’
Olam outbids Dreyfus’ sweetened deal for Australia’s Namoi, raises offer to A$0.66 per share
Live Nation’s revenue beats estimates as boom in concerts drive ticket sales
Jim Beam owner bets on canned vodka cocktails to double revenue