Luckin Coffee Inc - ADR (NASDAQ: LK) and Louis Dreyfus Company announced a joint venture agreement Thursday to develop a co-branded Luckin Juice business in China.
A signing ceremony in Singapore was attended by Zhengyao Lu, chairman of Luckin Coffee; Margarita Louis-Dreyfus, chairperson of Louis Dreyfus Holding B.V.; Ian McIntosh, CEO of LDC; and other members of senior management from the two companies.
"China is the fastest-growing [not from concentrate] market globally and, together, Luckin and LDC see a significant opportunity to offer high quality, sustainably developed NFC juices to the Chinese consumer,” Jinyi Guo, Luckin Coffee's senior vice president and co-founder, said in a statement.
Through this joint venture with Louis Dreyfus Company Luckin said it is extending upstream toward production. Luckin Coffee says it will further reduce costs to meet the needs of broader consumers and increase their consumption frequency.
Luckin Coffee shares were trading down 1.42% at $20.08 at the time of publication. The stock has a 52-week high of $27.12 and a 52-week low of $13.71.
Luckin Coffee Falls After Mixed Q2 Earnings
Luckin Coffee Opens Above IPO Price
See more from Benzinga
© 2019 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.