NEW YORK, U.S. – Pomerantz LLP is investigating claims on behalf of investors of Luckin Coffee Inc. (“Luckin” or the “Company”) (NASDAQ: LK). Such investors are advised to contact Robert S. Willoughby at rswilloughby@pomlaw.com or 888-476-6529, ext. 9980. The investigation concerns whether Luckin and certain of its officers and/or directors have engaged in securities fraud or other unlawful business practices.
On January 31, 2020, Muddy Waters Research (“Muddy Waters”) published a report alleging that Luckin had fabricated certain of the Company’s financial performance metrics, beginning in the third quarter of 2019. The Muddy Waters report asserted that Luckin had inflated its per-store per-day sales figures, citing a review of thousands of hours of store video, and that Luckin had significantly inflated its net selling price per item.
On this news, Luckin’s American depositary receipt price fell $3.91 per share, or 10.74%, to close at $32.49 per share on January 31, 2020.
The Pomerantz Firm, with offices in New York, Chicago, Los Angeles, and Paris is acknowledged as one of the premier firms in the areas of corporate, securities, and antitrust class litigation. Founded by the late Abraham L. Pomerantz, known as the dean of the class action bar, the Pomerantz Firm pioneered the field of securities class actions.
Today, more than 80 years later, the Pomerantz Firm continues in the tradition he established, fighting for the rights of the victims of securities fraud, breaches of fiduciary duty, and corporate misconduct.
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