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Reborn Coffee Issues Shareholder Update Highlighting Premium Financing, Strengthened Equity Position, Technology Transformation, Global Licensing Momentum, and Expected Return to Sustainable Positive Cash Flow in the First Quarter

1. Reborn Coffee raised $6.5 million at a premium price. 2. The financing strengthens Reborn's capital structure for 2026. 3. Reborn is executing a comprehensive technology transformation. 4. The company expects positive cash flow starting in Q1 2026. 5. International licensing expansion is a key growth strategy.

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Why Very Bullish?

The capital raised at a premium reflects strong investor confidence. Historical trends show financing success often leads to positive stock performance.

How important is it?

The article highlights significant financial moves and operational improvements that could directly influence REBN's valuation.

Why Short Term?

The expected return to positive cash flow in Q1 could boost market confidence quickly.

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BREA, CA, Dec. 09, 2025 (GLOBE NEWSWIRE) -- Reborn Coffee, Inc. (NASDAQ:REBN) today released a comprehensive shareholder update following the premium-priced equity financings disclosed in its Form 8-K filed November 25, 2025. The Company also provided expanded detail on the technology, operational, and international growth initiatives that are reshaping Reborn into a scalable, technology-driven global coffee and consumer brand as it enters 2026.

A Strengthened Financial Foundation Following Premium-Priced Equity Financings

In October and November, Reborn secured $6.5 million of equity commitments at $5.45 per share, representing a meaningful premium to the Company's market price at the time of execution. This capital reflects strong confidence from accredited investors in Reborn's operating model, global strategy, and long-term value creation.

These financings significantly bolster Reborn's stockholders' equity and address the prior equity deficiency cited by Nasdaq, positioning the Company on firmer footing as it proceeds through the hearing process. The capital also provides additional working capital to accelerate Reborn's technology roadmap, enhance operational efficiency, and support both domestic and international expansion.

A Business Transforming Through Technology: Building a Unified, Scalable Platform

Throughout 2026, Reborn will advance a major technology transformation that is redefining the Company far beyond its origins as a traditional coffee retailer. Reborn has built a fully integrated, omni-channel operating platform linking its POS systems, kiosks, mobile ordering, and store operations into a unified architecture.

This system provides real-time visibility into sales, labor, cost drivers, and customer behavior, enabling data-driven decision-making across the organization. These tools are improving store-level consistency, strengthening margins, and providing the foundation for future layers of automation designed to reduce manual processes and improve service efficiency.

Reborn believes this unified digital infrastructure positions the Company with a competitive advantage as it scales both domestically and internationally.

Operational Momentum Across the U.S. Store Portfolio

Reborn's U.S. retail stores are demonstrating improving operational momentum supported by the technology integration. The Company has seen gains in labor efficiency, notable improvements in service speed and throughput, tighter cost controls, and stronger digital customer engagement. These improvements translate into more predictable store-level performance and support the Company's expectation to achieve sustainable positive cash flow beginning in the first quarter of 2026.

The Company is also developing new domestic locations, including flagship concepts designed to showcase Reborn's elevated brand design and technology platform. These locations are expected to serve as both brand centers and operational hubs for onboarding and supporting international partners.

Reborn is developing new domestic locations, including flagship concepts designed to showcase Reborn's elevated brand design and technology platform

Global Expansion Accelerating Through an Asset-Light Licensing Model

Reborn's most significant long-term growth opportunity lies in its asset-light global licensing strategy. The Company now has approximately ten countries under licensing agreements, with additional territories progressing through later-stage discussions. International partners are adopting Reborn's standardized store design, brand identity, and technology platform—creating a scalable framework for rapid global deployment.

In addition to retail licensing, the Company is expanding into distribution licensing, enabling partners to sell Reborn-branded consumer products, including canned beverages, in their respective regions. This approach broadens the brand's global footprint while generating high-margin, low-capital revenue streams.

A major milestone within this strategy is the development of a flagship location inside Tencent's global headquarters complex in Shenzhen, one of the world's leading technology hubs. This flagship will serve as a showcase for Reborn's technology-forward retail model and support regional expansion efforts.

Flagship location inside Tencent's global headquarters complex in Shenzhen, one of the world's leading technology hubs

Positioned for a Strong 2026 With Expected Return to Sustainable Positive Cash Flow in the First Quarter

With a strengthened capital structure, improving operational performance, an integrated technology foundation, and a rapidly expanding international licensing network, Reborn enters 2026 from its strongest strategic position to date. The Company expects these initiatives to drive sustainable positive cash flow beginning in the first quarter, marking an important financial and operational inflection.

Jay Kim, Founder and CEO of Reborn Coffee, stated, "The investments completed at $5.45 per share—at a major premium to market—represent a clear vote of confidence in our vision and in the value we are building. These financings strengthen our balance sheet, address the prior equity deficiency, and allow us to accelerate our technology deployment and global expansion."

"Our technology platform is now fully integrated and is fundamentally transforming how we operate. Our stores are becoming more efficient, more consistent, and more data-driven, while our international licensing pipeline continues to expand. With these foundations in place, we expect to achieve sustainable positive cash flow beginning in the first quarter."

"Reborn is evolving into a global, technology-enabled coffee brand with significant long-term opportunity, and we appreciate the continued support of our shareholders as we execute the next phase of our strategy."

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.

Contact:

Crescendo Communications, LLC

Tel: (212) 671-1020

Email: rebn@crescendo-ir.com

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