Credit Suisse ‘Dream’ Client Luckin Coffee Becomes Nightmare
- Luckin collapse exposes risk of China wealth-focused strategy
- Bank stays course on wealth plan it says has led to successes
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Before the accounting scandal and the stock crash and the defaulted loans, Luckin Coffee Ltd.’s billionaire founder Lu Zhengyao was an ideal customer for Credit Suisse Group AG.
“I’ve had I don’t know how many dinners with him in Beijing and he’s absolutely the poster child for what we want to do,” Tidjane Thiam said at a conference last year when he was still head of the bank. He lauded Lu’s relationship with the firm that ranged from private banking to stock sales. “He’s a dream client.”