Deals

Investor Calls for Opposition to Luckin Coffee Board Plan

  • Letter asks investors to lobby board over rule changes
  • Chinese coffee chain is in restructuring after bankruptcy

Outside a Luckin Coffee Inc. outlet in the Qianmen area of Beijing.

Photographer: Qilai Shen/Bloomberg
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An investor in Luckin Coffee has urged shareholders and convertible bondholders of the disgraced Chinese coffee chain’s board of directors to oppose a plan to give Centurium Capital control of the company, according to a letter seen by Bloomberg News.

The letter signed by GS Wealth LP director Wu Naijia expressed concerns over a shareholder rights plan adopted by Luckin, which would make it easier for Centurium to take a controlling stake in the company with close to 60% of the voting power.