Mubadala invests in Luckin Coffee in US$1B deal with Centurium Capital
The strategic investment brings Abu Dhabi’s Mubadala into Luckin Coffee’s shareholder base as the Chinese coffee chain continues expanding its technology-led retail network.
CHINA – Abu Dhabi sovereign wealth fund Mubadala Investment Co has agreed to make a strategic minority investment in Luckin Coffee Inc, joining existing controlling shareholder Centurium Capital in a transaction valued at about $1 billion.
Mohamed Albadr, Mubadala’s head of Asia, said the fund remains optimistic about long-term opportunities in China’s consumer sector and highlighted Luckin Coffee’s technology-driven business model.
“Luckin Coffee has built a differentiated, technology-enabled business with data embedded across customer engagement, product development and store operations,” Albadr said.
“This combination of scale, digital capabilities and rapid product innovation has enabled the company to respond to evolving consumer preferences efficiently and at pace,” he added.
Centurium Capital Partner Chen Weihao welcomed Mubadala as an investor, saying the sovereign wealth fund’s global network and industry expertise would support Luckin Coffee’s long-term development and innovation.
Founded in 2017, Luckin has grown into one of China’s largest coffee chains through an asset-light, technology-enabled retail model combining an extensive store network, digital operations, frequent product launches and an integrated supply chain.
As of June 30, 2026, Luckin operated more than 36,000 stores worldwide and had served nearly 500 million customers.
In the fourth quarter of 2025, Luckin reported non-GAAP operating profit of 936.8 million yuan (US$137.6 million), down from 1.1 billion yuan in the same period of 2024. Revenue rose 32.9% year-on-year to 12.8 billion yuan.
Meanwhile, Mubadala’s assets under management increased about 16.7% to 1.4 trillion dirhams (US$381 billion) in 2025, from 1.2 trillion dirhams a year earlier.
The sovereign wealth fund has also expanded its investments across international markets. In Asia, Mubadala acquired a 30% stake in Asian pallet pooling company Loscam International, marking its first industrial investment in the region.
In Europe, the fund committed €300 million to Resolv Energy to support power expansion.
The investment in Luckin Coffee adds to Mubadala’s exposure to China’s consumer sector as the coffee chain continues to expand its store network and develop its digital and product capabilities.
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