The stock has lost more than 85% over three trading sessions — wiping out $12.5 billion in market value — since its auditor refused to sign off the company's accounts.
The tech firm said in a statement Monday that after"further examination," its board believes there is a"prevailing likelihood" that €1.9 billion in cash that was supposed to be in its accounts does not exist.
On Monday, the company withdrew its preliminary results for 2019, the first quarter of 2020 and its profit forecast for 2020. It warned that financial results from previous years may also be affected. The search for the missing funds had focused on the Philippines, but the country's central bank said in a statement Sunday that it had no record of the money entering its financial system. The central bank has opened an investigation, it added.
Founded in 1999, Wirecard was once considered one of the most promising tech firms in Europe. It processes payments for consumers and businesses, and sells data analytics services. The company, which has nearly 6,000 employees in 26 countries around the world, reported revenues of over €2 billion in 2018, or more than four times the figure from 2013.
Nigeria Latest News, Nigeria Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Wirecard thinks its $2.1 billion cash was a fiction in growing 'disaster'
Read more »
Five things to know about the Wirecard scandal
Read more »
BPI suspends junior officer over fake document vetting Wirecard's moneyThe Bank of the Philippine Islands is investigating one of its assistant managers who may have been involved in the issuance of a fake document that vouched for the trust account of German firm Wirecard AG in the local lender.
Read more »