China’s Starbucks Rival Luckin Piles Up Losses Before IPO

China’s Starbucks Rival Luckin Piles Up Losses Before IPO

Luckin Coffee, China’s fast-growing Starbucks rival, has one thing in common with consumer tech companies going public in the U.S.

: It has racked up hefty losses ahead of its planned public listing.

The coffee delivery startup estimates that it lost some $232 million in 2018,

its first year of operation, on revenue of $117 million, according to a person with knowledge of the matter.

The figures haven’t been reported previously. Those losses aren’t preventing the company from seeking an IPO valuation of $3 billion, this person said.

Luckin hopes to go public on the New York Stock Exchange in the third quarter of this year.

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