Large German fintec company, Wirecard, is bust.
https://www.ft.com/content/ac949729-616 ... aa71aca193
Wirecard collapsed on Thursday as the once high-flying German payments service provider announced it would file for insolvency following revelations of a multiyear accounting fraud.
It is the first insolvency of a member of Germany’s Dax index of blue-chip companies in its 32-year history.
As it's a DAX member this will impact a lot of funds, and may have some global impact.
The FT was on their case for a long time and have made their articles free to read. This one is the history of the debacle:
https://www.ft.com/content/284fb1ad-ddc ... 09b36868db
Got a credit card? use our Credit Card & Finance Calculators
Thanks to eyeball08,Wondergirly,bofh,johnstevens77,Bhoddhisatva, for Donating to support the site
Wirecard insolvent
-
- Lemon Slice
- Posts: 668
- Joined: November 4th, 2016, 9:05 pm
- Has thanked: 141 times
- Been thanked: 167 times
-
- Lemon Slice
- Posts: 260
- Joined: June 13th, 2019, 8:56 pm
- Has thanked: 909 times
- Been thanked: 160 times
Re: Wirecard insolvent
JamesMuenchen wrote:As it's a DAX member this will impact a lot of funds, and may have some global impact.
Fingers crossed!
-
- Lemon Quarter
- Posts: 3858
- Joined: November 8th, 2016, 7:13 pm
- Has thanked: 9 times
- Been thanked: 609 times
Re: Wirecard insolvent
It looks like another case where a business has not really made a proper profit for some time and at a point they could no longer conceal this.
-
- Lemon Slice
- Posts: 668
- Joined: November 4th, 2016, 9:05 pm
- Has thanked: 141 times
- Been thanked: 167 times
Re: Wirecard insolvent
johnhemming wrote:It looks like another case where a business has not really made a proper profit for some time and at a point they could no longer conceal this.
Yes.
It's a cringe that they got away with it for so long, and in the face of so much evidence. German establishment circled the wagons again.
I know many good people that work there, so it's a very sad day.
-
- Lemon Quarter
- Posts: 3858
- Joined: November 8th, 2016, 7:13 pm
- Has thanked: 9 times
- Been thanked: 609 times
Re: Wirecard insolvent
It is almost certainly the case that within the business there is something that works, but it is unclear as to what is cash generative. I bought a couple of companies out of administration in the past (about 20 years ago), but it did not turn out well. This like PV (although that was not tech) is a situation where it is unclear what actually makes money. Probably something does.
-
- Lemon Half
- Posts: 7173
- Joined: November 24th, 2016, 3:29 am
- Has thanked: 1656 times
- Been thanked: 3815 times
Re: Wirecard insolvent
What exactly do Wirecard do?
A news report on R4 tonight saying they went bust but not to worry, everyone's money is still safe even if they don't currently have access to it. I can't image a more worrying news report....
A news report on R4 tonight saying they went bust but not to worry, everyone's money is still safe even if they don't currently have access to it. I can't image a more worrying news report....
-
- Lemon Slice
- Posts: 668
- Joined: November 4th, 2016, 9:05 pm
- Has thanked: 141 times
- Been thanked: 167 times
Re: Wirecard insolvent
It gets better!
German regulators went after Wirecard whistleblowers and short sellers. They asked the FCA to perform searches, but were denied.
https://www.reuters.com/article/us-wire ... SKCN24H0KM
Now it transpires that employees of German's financial regulator, which banned shorting Wirecard, were trading an increasing amount of wirecard shares and derivatives.
https://www.reuters.com/article/wirecar ... SL8N2FG4D3
German regulators went after Wirecard whistleblowers and short sellers. They asked the FCA to perform searches, but were denied.
https://www.reuters.com/article/us-wire ... SKCN24H0KM
Now it transpires that employees of German's financial regulator, which banned shorting Wirecard, were trading an increasing amount of wirecard shares and derivatives.
https://www.reuters.com/article/wirecar ... SL8N2FG4D3
Return to “Macro and Global Topics”
Who is online
Users browsing this forum: No registered users and 37 guests