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...and who's down

Snacks / Monday, April 06, 2020
  • Pour one out... for Luckin Coffee — the "Starbucks of China" announced one very un-Starbucks-like difference: its 2019 sales numbers were totally made up. Luckin had reported its sales for the first 9 months of 2019 to be $413M — but an internal investigation revealed that $310M of those never happened (aka, #fakebrews). Luckin stock plunged nearly 80% the day the news broke. Luckin apologized "sincerely" for the scandal, and said its caffeinated biz will continue as usual during the fraud investigation.

  • WeWork (from home)... After a failed IPO and a scandalous CEO-exit, WeWork has new troubles in its beer-on-tap-less offices: its largest investor, SoftBank, just backed out of an offer to buy $3B in additional shares. We's co-founder, Adam Neumann, would've snatched almost $1B from the deal — but other employees would also have benefitted (they can take some solace that Neumann's not walking away a billionaire anymore). Now WeWork won't get $1.1B in extra debt financing that's needed right now. After all, its whole biz is renting office space, but so many of its clients are WFH...

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