Mubadala Invests in Luckin Coffee with a $1 Billion Deal
Abu Dhabi's Mubadala Investment Company has agreed to invest approximately $1 billion in Luckin Coffee, alongside the company’s controlling shareholder Centurium Capital. The investment will give Mubadala and related entities beneficial ownership of around 22.1% of Luckin on an as-converted basis. As part of the deal, Mubadala also gains the right to nominate a director to Luckin's board while holding at least 5%. This move signals confidence in China’s growing coffee market. Luckin Coffee reported over 36,000 stores globally and nearly 500 million cumulative transaction customers as of June 30. The company saw second-quarter revenue rise by about 29% year-over-year to approximately 15.9 billion yuan, with operating profit increasing around 22% to 2.1 billion yuan. The investment is expected to extend Centurium's stake in Luckin and provide additional institutional support.
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