Open shop next year! Lucky officially enters Malaysia!
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Today, Xingzhou.com and many other media reported that the big-funded industry won the franchise of Luckin Coffee in Malaysia.
Datong issued relevant documents indicating that its wholly-owned subsidiary Global Aroma Sdn Bhd (GASB) has entered into an overall development and operation agreement with Singapore Lucky Holdings Pte Ltd (Luckin Coffee Holding Singapore Pte Ltd).

This means that GASB has won the right to develop, open and operate Ruixing Cafe in Malaysia under the name "Luckin Coffee". According to the proclamation, the agreement is for a period of 10 years, and the large-funded industry has the right to request that the contract be renewed for two consecutive years and that the arrangement be extended for no more than one year.
In August this year, foreign media reported that Ruixing was preparing to enter Malaysia and is expected to cooperate with local listed companies to open branches in Malaysia. At that time, it was widely rumored that Ruixing was in talks with success Group (BJ FOOD), which holds the right to operate Starbucks in Malaysia, to open a new company in the form of a joint venture to enter the coffee market in Malaysia.
After all, in the eyes of the outside world, the success Group not only has a cooperative relationship with Starbucks, but also introduced McDonald's into the Malaysian market, has rich experience in operating catering brands, and cooperation with it will help Lucky quickly gain a foothold there.
Unexpectedly, Rui Xing did not choose the successful group, which is popular with Chen, but finally decided to cooperate with large-funded industries. It is reported that Hextar, at the helm of Wang Ziming, has actively expanded in recent years, extending from the family-rich agrochemical business to fertilizers, energy, industry, real estate, health care, technology and consumption.
Among them, the large-funded industry that entered into a partnership with Ruixing is a listed company of the group, which is mainly engaged in the manufacture and distribution of chemical fertilizers, quarrying equipment, tents and lifting solutions, and has no previous experience in catering brand management.

In this regard, the board of directors of Dabi Industry believes that the new catering business has the potential to bring new sources of income to the group and reduce its reliance on existing business. The company pointed out that after it was authorized to open Lucky Cafe across Malaysia, it would make good use of one of the world's fastest-growing coffee brands to expand rapidly.
Wang Ziming, the main shareholder, said in a statement that the cooperation with Ruixing would bring new growth opportunities for the group. "this is a strategic investment, which I believe will bring rich returns. Our goal is to actively expand across the country and replicate Ruixing's success."
Luckin Coffee CEO Guo Jinyi also said that the opening of a store in Malaysia marked an important step in Luckin Coffee's international expansion. "the financial strength and management experience of large industries will help us develop the Malaysia market faster and more effectively."
It is understood that large-scale industry plans to open a number of Luckin Coffee stores in Malaysia in the first quarter of 2025, and will actively promote the rapid expansion of the brand. The franchise fee and initial start-up cost for setting up the business will be paid by a combination of intra-group funds and bank loans.
Picture from: Internet
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