HLI - Report: Luckin Coffee Hires Financial Advisor Experienced in Distressed Situations
Battered by missteps and bad news of late, it seems Luckin Coffee (NASDAQ: LK) is turning to a third party for some help. Reuters is reporting that the Chinese takeout java specialist has hired Los Angeles-based investment bank Houlihan Lokey (NYSE: HLI) as an advisor.
The article, citing "sources close to the matter," states that Houlihan Lokey will provide strategic and financial advice for Luckin Coffee. It was not clear how much the Asian company will be paying for such services.
Rocked by several scandals involving alleged accounting fraud and loan defaults by some of its top executives, the onetime investor favorite has seen its market value plunge lately.