Luckin Coffee, a Chinese coffee retailer offering pick-up and delivery via a mobile app, announced terms for its IPO on Monday.
The Xiamen, China-based company plans to raise $480 million by offering 30 million ADSs at a price range of $15 to $17. At the midpoint of the proposed range, Luckin Coffee would command a fully diluted market value of $3.9 billion. Louis Dreyfus Company has agreed to invest $50 million in a concurrent private placement at the IPO price.
Luckin Coffee was founded in 2017 and booked $194 million in sales for the 12 months ended March 31, 2019. It plans to list on the Nasdaq under the symbol LK. Credit Suisse, Morgan Stanley, CICC and Haitong International are the joint bookrunners on the deal. It is expected to price during the week of May 13, 2019.
