Reborn Coffee Establishes New Subsidiary, Reborn Logistics, to Strengthen Supply Chain Infrastructure
Rhea-AI Summary
Reborn Coffee (Nasdaq: REBN) has established Reborn Logistics, a wholly owned subsidiary aimed at strengthening its supply chain infrastructure. The new subsidiary will be led by Mr. Lim Jae Jung, a logistics industry veteran with over 20 years of experience.
The subsidiary has already secured significant partnerships with Korean companies including Nexen Tire and Han press, with contracts representing a monthly volume exceeding 1,550 units and potential annual logistics revenue of approximately $20 million. This strategic move aligns with Reborn Coffee's global expansion plans and aims to create an integrated supply chain ecosystem supporting both retail coffee operations and future F&B ventures.
Positive
- Secured contracts with potential annual revenue of $20 million
- Appointed experienced leader with 20+ years of logistics expertise
- Monthly volume exceeding 1,550 units from initial partnerships
- Strategic vertical integration to improve operational efficiency and reduce costs
Negative
- Significant investment required for new subsidiary operations
- Potential operational risks in new business vertical
- Dependency on key partnerships for initial revenue
News Market Reaction
On the day this news was published, REBN gained 9.60%, reflecting a notable positive market reaction. Argus tracked a peak move of +5.9% during that session. Our momentum scanner triggered 3 alerts that day, indicating moderate trading interest and price volatility. This price movement added approximately $1M to the company's valuation, bringing the market cap to $16M at that time. Trading volume was very high at 4.6x the daily average, suggesting strong buying interest.
Data tracked by StockTitan Argus on the day of publication.
New Subsidiary to Streamline Supply Operations for Existing and Upcoming Stores, Backed by Early Contracts with Revenue Potential of Approximately
BREA, Calif., Sept. 16, 2025 (GLOBE NEWSWIRE) -- Reborn Coffee Inc. (Nasdaq: REBN), a leader in the specialty coffee market, today announced the establishment of Reborn Logistics, a wholly owned subsidiary dedicated to supporting the Company’s expanding domestic and international operations.
Reborn Logistics has been formed to facilitate the supply chain and logistics infrastructure required for both current stores and upcoming locations, ensuring greater efficiency and scalability as Reborn Coffee accelerates its growth strategy worldwide.
Mr. Lim Jae Jung, a seasoned professional with over 20 years of expertise in the logistics industry, will be leading the subsidiary. Mr. Lim has managed large-scale operations and supply chains across multiple sectors, bringing a proven track record and deep knowledge of distribution networks that will provide the foundation for Reborn Logistics’ long-term success.
As part of its initial operations, Reborn Logistics has secured partnerships with leading Korean companies, including Nexen Tire and Han press, with an estimated combined monthly volume of over 1,550 units and an annual logistics revenue potential of approximately
“Reborn Logistics represents an important step in strengthening the backbone of our growth,” said Jay Kim, CEO of Reborn Coffee. “With Mr. Lim’s leadership and the early success of securing high-volume contracts, we are confident this subsidiary will enhance operational efficiency, reduce costs, and open new revenue opportunities as Reborn Coffee continues to expand globally.”
The formation of Reborn Logistics aligns with Reborn Coffee’s vision of building a fully integrated supply chain ecosystem, supporting not only its retail coffee operations but also future ventures across the F&B and consumer goods sectors.
About Reborn Coffee
Reborn Coffee, Inc. (NASDAQ: REBN) is a California-based specialty coffee retailer focused on delivering high-quality, handcrafted coffee experiences. With a growing global footprint and a dedication to innovation, Reborn is redefining the coffeehouse model through its premium products and technology-forward initiatives.
Forward-Looking Statements
All statements in this release that are not based on historical fact are “forward-looking statements.” While management has based any forward-looking statements included in this release on its current expectations, the information on which such expectations were based may change. Forward-looking statements involve inherent risks and uncertainties which could cause actual results to differ materially from those in the forward-looking statements, as a result of various factors including those risks and uncertainties described in the Risk Factors and Management’s Discussion and Analysis of Financial Condition and Results of Operations sections of our recent filings with the Securities and Exchange Commission (“SEC”) including our Form 10-K for the year ended December 31, 2024, which can be found on the SEC’s website at www.sec.gov. Such risks, uncertainties, and other factors include, but are not limited to, the Company’s ability to continue as a going concern as indicated in an explanatory paragraph in the Company’s independent registered public accounting firm’s audit report as a result of recurring net losses, among other things, the Company’s ability to successfully open the additional locations described herein as planned or at all, the Company’s ability to expand its business both within and outside of California (including as it relates to increasing sales and growing Average Unit Volumes at our existing stores), the degree of customer loyalty to our stores and products, the fluctuation of economic conditions, competition and inflation. We urge you to consider those risks and uncertainties in evaluating our forward-looking statements. We caution readers not to place undue reliance upon any such forward-looking statements, which speak only as of the date made. The Company undertakes no obligation to update these statements for revisions or changes after the date of this release, except as required by law.
Contacts
Investor Relations Contact:
Chris Tyson
Executive Vice President
MZ North America
REBN@mzgroup.us
949-491-8235
Company Contact:
Reborn Coffee, Inc.
ir@reborncoffee.com
FAQ
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