Luckin Coffee will be suspended from NASDAQ on June 29

The company stated that more than 4,000 stores nationwide will still operate normally

　　On the morning of June 27, Ruixing Coffee issued a statement on its official Weibo that it will be suspended from trading on NASDAQ on June 29 and will be delisted for the record. In addition, Ruixing Coffee said that in the domestic consumer market, Ruixing Coffee will operate more than 4,000 stores nationwide.

Will be suspended on June 29

　　Ruixing Coffee announced the previous day that it had withdrawn its hearing request to NASDAQ on June 24 and no longer sought to withdraw or shelve the exchange's delisting decision. Ruixing Coffee will be suspended on June 29.

　　In the announcement, Ruixing said that on May 22, 2020, Ruixing will hold an oral hearing in the Nasdaq hearing group according to Article 4820 of the market rules. On May 23, 2020, Nasdaq informed the company that the hearing date will be June 25, 2020. On June 24, 2020, the company notified the listing qualification personnel that the company decided to withdraw the above hearing request and did not seek to reverse or retain the listing qualification personnel's decision to delist the company from the NASDAQ Global Select Market.

Had planned to hear the hearing

　　The Beiqing Daily reporter learned that on the evening of May 19, Ruixing Coffee issued an announcement saying that it received a delisting notice from the Nasdaq Exchange on May 15th. The company plans to hold a hearing on this and the results of the hearing will be released. In the past, Ruixing will continue to be listed on the NASDAQ, and hearings are usually scheduled to be held 30 to 45 days after the date of the hearing request.

　　This move is considered to be the continued life of Ruixing Coffee in the US stock market. However, multiple "bad news" appeared to have hit Ruixing Coffee's "struggle" in the US stock market.

　　First, the investigation into the fraud case of Ruixing Coffee may involve Chairman Lu Zhengyao, and then there are frequent "personnel earthquakes" in Ruixing Coffee executives and the board of directors. In addition, according to the judgment of the Cayman Islands court on June 16, the lender led by Credit Suisse won a court order to liquidate the two major entities Primus Investments Fund and Mayer Investments Fund controlled by Lu Xingyao, chairman of Ruixing Coffee, And tried to recover the outstanding debt of $324.1 million. On the evening of June 23, Ruixing Coffee announced that it had received NASDAQ's delisting notice for the second time because it failed to submit its annual report.

　　The Beiqing Daily reporter learned that the Nasdaq General Counsel’s Office has informed Ruixing Coffee that the company’s stock will be suspended when it opens on June 29.

Current stock price hit a record low

　　Affected by this news, Ruixing Coffee vented within half an hour of the opening of US stocks on the evening of June 26, triggering a meltdown 6 times, closing down $1.38 per share, a 54% drop, and the stock price reached a new low. At this time, Ruixing Coffee has only a fraction of the highest price of 51.38 US dollars, which is also about 90% lower than the issue price of 17 US dollars.

　　The Beiqing Daily reporter learned that after the market, Ruixing Coffee issued a notice requesting the resignation of Chairman Lu Zhengyao, saying that the board of directors will hold an extraordinary general meeting on July 2 to discuss the proposal to remove Chairman Lu Zhengyao's post.

　　The Beijing Youth Daily reporter learned that Ruixing Coffee said that in the domestic consumer market, Ruixing Coffee will operate normally in more than 4,000 stores nationwide. The company sincerely thank the consumers for their support and love, and once again sincerely apologize to the community for the bad impact of the incident.

　　Text/Reporter Zhang Xin