Former Wirecard-in-chief: brown was forced to sell most of its shares

Markus brown, until a few days ago, the chief Executive of the discredited payment processor Wirecard has need to repel a large part of its shares to a balance-

Former Wirecard-in-chief: brown was forced to sell most of its shares

Markus brown, until a few days ago, the chief Executive of the discredited payment processor Wirecard has need to repel a large part of its shares to a balance-sheet scandal endangered the very existence of the Dax group. In a series of sales of brown redeemed on Thursday and Friday, a total of 155 million euros, as Wirecard in several Ad-hoc communications announced on Tuesday evening. As a reason for the so-called Margin Calls were called. This means that brown had purchased the stock on credit (margin).

The lending Broker require in the case of a drastic Price fall on positions of this type always require additional payments in order to limit the risks of its own. The holder may make up for no money, he must sell the stock or they are sold forced.In the case of brown, this amounted to about 5.5 million shares-almost two-thirds of its share of Wirecard. Therefore, brown would not be the greatest of Wirecard shareholder, its share would have fallen from the last 7.07 per cent to about 2.5 per cent.

According to the last available level, brown would be only the fifth largest shareholder, however, some of the position messages are of older date and may no longer be have also been reduced. The largest shareholder is the holder of various ETF provider Vanguard (Stand: 31 would be, with a share of 3.06 percent. May 2020).The Wirecard papers have lost since Wednesday evening, more than ten billion euros in value. In comparison to its value from last Wednesday, brown lost with the sold securities would therefore have been about 400 million euros.

WIRECARD -- -- (--) Xetra tradegate long & black London SE Int. Level 1StuttgartFrankfurtSchweiz OTCWienSchweiz 1T 1W 3M 1J 3J 5J For detail view

brown had resigned last Friday due to the accounting fraud alleged air bookings in the amount of 1.9 billion euros, the Munich public Prosecutor's office had taken him on Monday evening. The Munich district court has set the arrest warrant against high conditions, except for law enforcement. Brown needs to put five million Euro Deposit and weekly report to the police.

Updated Date: 24 June 2020, 06:20

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