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With the partnership that was concluded months ago, Wirecard, as a payment service provider, was to get a foot in the door of the Japanese Group’s numerous holdings. Softbank also wanted to help Germans expand in Japan and South Korea. At the same time, the Japanese put 900 million euros in a convertible bond from Wirecard, but they did not use their own money for this.
The DAX group has now filed for bankruptcy, 1.9 billion euros have disappeared and former CEO Markus Braun is accused of artificially inflating sales.
After the Wirecard scandal, Aldi Süd is betting on competition
The retail giant Aldi Süd has now significantly restricted its business with the group and is now relying on a competitor. “Since July 1, credit card payments at Aldi Süd have been handled by Payone GmbH. Since then, cooperation with Wirecard Bank AG has been limited to business with the Aldi gift card,” said Aldi Süd. That didn’t bring any changes for the customers. The industry portal “Finanz-Szene” had previously reported on this. Payone is a joint venture between the German savings banks and the French Ingenico group.
Wirecard is deeply involved in a scandal involving alleged air bookings amounting to 1.9 billion euros. A preliminary insolvency proceedings are also ongoing and it looks as if the group could be broken down into individual parts and sold. What could then get stuck with the shareholders leaves room for ample speculation, as the wild price swings show. After the scandal came to light in June, the papers had lost up to 99 percent of their value.
Five Wirecard subsidiaries insolvent
The balance sheet scandal at the DAX group Wirecard now affects five subsidiaries financially after the parent company. As the Munich District Court announced on Thursday, these five companies have now also filed for bankruptcy. The preliminary insolvency administrator is, as with the mother Wirecard AG, the lawyer Michael Jaffé.
All five subsidiaries, like Wirecard AG, are located in the Munich suburb of Aschheim, which are companies that offer services and software for the parent company. These include the sales and marketing company Wirecard Global Sales and the software company Wirecard Issuing Technologies.
Wirecard shares collapse again
Wirecard shares continued their price eros on Thursday with a significant slump via XETRA. At lunchtime, the papers of the payment service provider struggling for survival after a balance sheet scandal are at times around 30 percent lower at 3.32 euros. On Wednesday, the shares still listed in the DAX had lost around 16 percent after the price had more than quadrupled in the two days before at the closing price on Friday.
(Dow Jones / dpa-AFX)
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Image sources: winhorse / iStock, Wirecard
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