Luckin Coffee backer reportedly buys Blue Bottle Coffee

Centurium Capital, the majority owner of Luckin Coffee, has reportedly struck a deal to acquire Blue Bottle Coffee from Nestlé for approximately US$400 million.

According to Chinese media such as Sina Finance, Nestlé will retain Blue Bottle’s fast-moving consumer goods (FMCG) division following the transaction. This includes the brand's retail coffee beans, instant coffee, and ready-to-drink beverages.

The two brands will continue to operate independently, with no plans for a merger. MARKETING-INTERACTIVE has reached out to Centurium and Nestlé for comment.

Don't miss: Luckin Coffee hits 30,000 stores as it sharpens global ambitions

Founded in California in 2002 by musician James Freeman, Blue Bottle Coffee saw Nestlé acquire a 68% stake in the company for US$425 million in 2017. The chain entered China through Shanghai in 2020, positioning itself at a premium price point above Starbucks. It currently operates fewer than 20 stores in the country.

The acquisition is widely viewed as a strategic move to accelerate Luckin’s entry into the premium coffee segment. Integrating a brand such as Blue Bottle would fill a critical gap in Luckin’s portfolio, which has traditionally focused on affordability and convenience.

The news comes on the heels of Luckin opening its 30,000th store—a milestone that signals a shift from rapid domestic expansion toward deeper brand-building and greater control over its global coffee supply chain.

The new outlet, located in Shenzhen, debuts Luckin’s first “origin flagship” concept, designed to spotlight the company’s sourcing strategy, premium positioning, and ambitions beyond China. While the opening underscores Luckin’s scale, it also highlights the brand’s next challenge: translating store count dominance into long-term brand legitimacy on the global stage.

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