By the end of 2021, the goal of Luckin Coffee is to have 10,000 chain stores in China.

The shares climbed to as high as USD 25.96, giving it a market value of almost USD 6 billion, before falling to USD 22 as of this writing -- a 31%increase on its IPO price.

Unlike traditional retail companies, Luckin gains profit from the efficiency of its store management efficiency as well as a more sophisticated middle-back end system.

Whether the USD 500 million expected to be raised from IPO will save Luckin before the company runs into a cash crunch remains uncertain, but we can at least find signs of improvement to its financial condition.

Coffee Box was founded in 2014, initially operated as a branded coffee delivery company for Starbucks, Costa, etc. It seems Luckin’s application helped Coffee Box in its business.

The filing reveals Luckin's financials. The net income in 2018 was CNY 840 million, with a net loss of CNY 1.62 billion. While the net income as of March 31, 2019 was CNY 480 million, with a net loss of CNY 550 million.

Luckin Coffee announced that it has finished its series B+ round of financing of USD 150 million. After the funding, the latest valuation of this coffee magnate was USD 2.9 billion.

Besides fundraising, the chattel mortgage has the strategic transform from heavy-assets to light-assets operation. As the second largest shareholder of Starbucks, BlackRock's investment might not just be a portfolio optimization.