Lucky Coffee (NASDAQ: LK) It will no longer be listed on the Nasdaq Stock Market after it closed today.
The scandal-ridden cafeteria decided not to question the two foreclosure notices it received from Nasdaq, meaning the shares will be suspended from trading before the market opens Monday and the shares will eventually be removed from the list.
Image source: Getty Images.
Get out while you can
It was a quick and ignominious fall for him Starbucks candidate. Just over a year ago, its IPO saw its debut at the upper end of its expected price range, and the shares finally tripled in value, reaching more than $ 51 a share in January.
But the decline came quickly after allegations of accounting fraud and subsequent loan defaults by senior executives emerged. Luckin has been spiraling ever since, and while he did enjoy a brief bounce from a dead cat earlier this week as he prepared to respond to Nasdaq’s foreclosure notices, the cafeteria notified the exchange Wednesday that it was withdrawing its request to the hearing that had been scheduled for yesterday.
While the actions will technically be suspended on Monday morning until all appeal periods have expired, Luckin Coffee is not fighting, making it just a formality before the shares are withdrawn.
However, the Chinese cafeteria is likely to be traded over the counter on Pink Sheets calls after being removed from the list. The requirements there are much less stringent, making many of these actions a risky investment.
