Latest update on Insolvency process of the Wirecard AG.
Rechtsanwalt Dr. Michael Jaffé Preliminary insolvency administrator of Wirecard AG, Aschheim
Numerous interested parties worldwide for acquisition of business units
International investor process launched
Creditors’ Committee unanimously confirms Dr. jur. Michael Jaffé as the preliminary insolvency administrator of Wirecard AG
Aschheim/Munich. The Munich Local Court has appointed a preliminary creditors’ committee in the preliminary insolvency proceedings relating to the assets of Wirecard AG by order of June 29, 2020. At its constitutive meeting today, the preliminary creditors’ committee unani-mously confirmed Dr. jur. Michael Jaffé from the law firm JAFFÉ Rechtsanwälte as the prelim-inary insolvency administrator. The preliminary insolvency administrator, who was appointed by the Munich Local Court also on 29 June 2020, presented an initial report at the meeting, which lasted several hours. According to this report, numerous interested parties worldwide have already expressed their interest in acquiring business units. The preliminary creditors’ committee then gave the go-ahead for an international investor process involving investment banks.
The primary objective of the preliminary insolvency proceedings is to stabilize the business operations of the Group companies. This applies to the processing of credit card payments as well as to the other business areas, which are to be regarded independently. To this end, in-tensive discussions are being held with customers, trading partners and the credit card or-ganizations. However, it still cannot be ruled out that insolvency applications will also have to be filed for subsidiaries of the Wirecard Group with the aim of placing these companies un-der the protection of insolvency proceedings and, if possible, continuing them.
Wirecard Bank AG is still solvent; payouts to merchants and customers of Wirecard Bank are being carried out without restrictions.
Early in the morning of June 30, 2020, the British Financial Conduct Authority (FCA) lifted the restrictions initially imposed on the subsidiary Wirecard Card Solutions Ltd. after Wirecard AG had filed for insolvency. This means that several hundred thousand accounts are now once again open for the processing of payments. Customers can use their related (credit) cards as usual.
The respective business units and/or Wirecard AG are in close contact with the supervisors of the other licensed units abroad, likewise with the aim of continuing business while simulta-neously safeguarding customers.
Parallel to this, the search for investors for the core activities of Wirecard AG, but also for the independent business units of the subsidiaries, is now being intensified. To this end, a struc-tured transaction process coordinated by the parent company is to be implemented, involv-ing investment banks specializing in various areas. “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 and successfully operative business divisions,” said the preliminary insolvency administrator Dr. jur. Michael Jaffé.
In addition, the clarification of the causes of the crisis as well as the analysis and verification of cash flows and data are also being progressed with high priority.
Press contact for the preliminary insolvency administrator
In the press release you will find the latest update on the insolvency proceedings of Wirecard AG.