Wirecard assets attracting interest

Wirecard filed for protection from creditors last week after investigations revealed that €1.9bil (US$2.1bil) previously reported as cash was missing from its accounts and probably never existed.

FRANKFURT: The assets of collapsed German payment provider Wirecard AG are attracting interest from “numerous” global investors.

A sale process involving investment banks is on the way, the company’s preliminary insolvency administrator said.“A large number of investors from all over the world have already contacted us, who are interested in acquiring the core business or the independent business units that operate successfully on the market, ” Michael Jaffe said in a statement.

Jaffe is the lawyer appointed to handle the insolvency.

Wirecard filed for protection from creditors last week after investigations revealed that €1.9bil (US$2.1bil) previously reported as cash was missing from its accounts and probably never existed.

Markus Braun, who resigned as chief executive officer as the scandal unfolded, was arrested last Monday.

He was granted bail the following day.

The company will carry out a structured transaction process involving investment banks specialised in various areas, according to the statement.

An analysis of the causes of the crisis and verification of payment flows is also taking place.

Worldline, a French payments company, is among parties interested in buying parts of Wirecard, German newspaper Frankfurter Allgemeine Zeitung reported last week.

The German group’s North American unit is seeking to be acquired, with an investment bank coordinating the sale process.

It can’t be ruled out that insolvency applications for Wirecard subsidiaries have to be filed, the preliminary administrator said.

Jaffe is in discussions with customers, trading partners and credit card organisations.

The group’s Wirecard Bank AG unit remains solvent, and payouts to merchants and customers are being executed without restrictions, the statement said. — Bloomberg