WELCOME TO THE LUCKIN CONVERTIBLE NOTES SETTLEMENT WEBSITE

This website has been established to provide general information related to the proposed settlement of the case known as In re Luckin Coffee Inc. Securities Litigation, Index No. 651939/2020 (the “Action”), pending before the Supreme Court of the State of New York, County of New York: Commercial Division (the “Court”). The capitalized terms used on this website, and not otherwise defined, shall have the same meanings ascribed to them in the Stipulation of Settlement dated September 6, 2022 (the "Stipulation"), which can be found and downloaded by clicking on the Case Documents tab above. Your rights may be affected by the Settlement if you purchased or otherwise acquired Luckin Coffee Inc. (“Luckin”) Convertible Notes issued on or about January 10, 2020 (the “Convertible Notes”) and did not release claims based on your purchase or acquisition of the Convertible Notes in connection with Luckin’s noteholder Scheme of Arrangement, or otherwise.

The entities and individual that lead the Litigation, Kimson Chemical, Inc., Teamsters Local 710 Pension Fund, Michael Bergenholtz, and City of Fort Myers Police Officers’ Retirement System, are collectively referred to as the “Plaintiffs.” The entities and individuals, Luckin Coffee Inc., Thomas P. Meier, Haode Investment Inc., Primus Investment Fund, L.P., Summer Fame Limited, Lucky Cup Holdings Limited, Fortunate Cup Holdings Limited, Mayer Investments Fund, L.P., Richard Arthur, Cogency Global Inc., Credit Suisse Securities (USA) LLC, Morgan Stanley & Co. LLC, China International Capital Corporation Hong Kong Securities Limited, Haitong International Securities Company Limited, Key Banc Capital Markets Inc., and Needham & Company, LLC, that are being sued are referred to as the “Defendants.”

The law firms of Robbins Geller Rudman & Dowd LLP, Berger Montague PC, and Shapiro Haber & Urmy LLP (“Lead Counsel”) represent Settlement Class Members. Settlement Class Members will not be charged for these lawyers. They will be paid from the Settlement Fund to the extent the Court approves their application for fees and expenses.

WHAT IS THIS LAWSUIT ABOUT?

As more fully described in the Notice of Proposed Settlement of Class Action (the "Notice"), Plaintiffs allege that in January 2020, Luckin offered $460 million in Convertible Notes pursuant to materially false Offering documents. The Offering documents represented that Luckin was enjoying tremendous sales and revenue growth. However, the growth rate was in part the product of misconduct orchestrated by the Company’s most senior executives, officers and directors. Luckin later announced that certain Company employees fabricated $310 million worth of transactions in order to create the appearance of revenue and operational growth. Following disclosure of this wrongdoing, the price of the Convertible Notes fell to 80% below par, causing damages to the purchaser of the Convertible Notes.

Defendants deny all of Plaintiffs’ allegations. Without limiting the generality of the foregoing in any way, Defendants have denied and continue to deny, among other things, that any misstatements or materially misleading omissions were made or that Plaintiffs or the Settlement Class have suffered any damages. Defendants do not admit any liability or wrongdoing in connection with the allegations set forth in the Action, or any facts related thereto.

The initial complaint was filed in this Court by one of the Plaintiffs on May 26, 2020. A number of related complaints were filed thereafter. On October 16, 2020, the Court entered an order consolidating the actions and appointing Lead Plaintiffs and Co-Lead Counsel.

On December 23, 2020, Plaintiffs filed their Consolidated Complaint (the “Complaint”). In December 2021, the Court granted a temporary stay of proceedings pending final approval of parallel litigation pending in the United States District Court for the Southern District of New York.

On January 9, 2022, the Parties reached an agreement in principle to resolve the Action on behalf of the purchasers of the Convertible Notes (the only claims asserted in the Complaint that are not resolved in the ADS purchaser settlement in the United States District Court for the Southern District of New York), subject to the negotiation of the terms of a Stipulation of Settlement and approval by the Court. On April 12, 2022, Plaintiffs and Luckin executed a Memorandum of Understanding. Following additional negotiations, on September 6, 2022, the Parties executed the Stipulation. The Stipulation (together with the exhibits thereto) reflects the final and binding agreement between the Parties.

WHAT DOES THE SETTLEMENT PROVIDE?

The Settlement, if approved, will result in the creation of a cash settlement fund of $7,000,000 (the “Settlement Fund”). The Settlement Fund, plus accrued interest and minus the costs of the Notice and all costs associated with the administration of the Settlement Fund, as well as attorneys’ fees and expenses, and the payment to Plaintiffs for representing the Settlement Class, as approved by the Court (the “Net Settlement Fund”), will be distributed to eligible Settlement Class Members pursuant to the Plan of Allocation that is described in the Notice.

ADDITIONAL INFORMATION

Although the information in this website is intended to assist you, it does not replace the information contained in the Notice and Stipulation, both of which can be found and downloaded by clicking on the Case Documents tab above. We recommend that you read the Notice and other relevant case documents carefully.

YOUR LEGAL RIGHTS AND OPTIONS IN THIS SETTLEMENT

IMPORTANT DATES AND DEADLINES