Update: June 2020
EY announced €1.9bn of cash missing, CEO arrested, Wirecard AG filed for insolvency

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Letter to the audit committee

October 23, 2019

MCA-Mathematik calls for the audit committee to release the KPMG audit scope

Doubts have already been raised about the credibility of Wirecard’s independent audit, such as those raised by Schirp & Partner Rechtsanwälte mbB who are currently gathering shareholder support to call an EGM and vote for a special auditor under section 142 of the German Stock Corporation Act.

Instead of throwing fuel on that fire, we are releasing our letter to Wirecard’s audit committee, calling on them to release the full scope of their audit with KPMG, and commit to releasing timely updates and a final report. Prior management communication has been misleading, and full transparency is the best way to resolve this.

Download letter (PDF)

October 23, 2019
Letter 1

This website, its contents and the materials on or accessible through this website (such materials, this website and its contents being the “Materials”) are for informational purposes only and may not be relied on by any person for any purpose. Under no circumstances should any Materials be construed as, investment, financial, legal, tax or other advice or recommendations. The Materials are not intended to be and do not constitute or contain any investment recommendation or any financial product advice under any applicable law or regulation. No information in any of the Materials should be construed as recommending or suggesting an investment strategy or as representing any opinion as to the present or future value of any financial instrument. Investors should seek their own financial, legal and tax advice in respect of any decision regarding Wirecard AG (“Wirecard”). We do not render investment advice to anyone unless we have an investment adviser-client relationship with that person evidenced in writing. You understand and agree that we do not have any investment advisory relationship with you or do not owe fiduciary duties to you. Giving investment advice requires knowledge of your financial situation, investment objectives, and risk tolerance, and we have no such knowledge about you.

By downloading from, or viewing Materials on this website, you agree that use of the content on this website is at your own risk.

Funds and clients managed by us are in the business of trading securities. As of the publication date of the Materials, funds or clients related to us and/or their clients and/or investors (possibly through or along with our partners, affiliates, employees and consultants) have a short position in one or more of the securities of Wirecard (whether they be in stock, contracts for differences, options, swaps, futures or other synthetic instruments and other derivatives related to one or more of these securities). Therefore such funds or clients related to us and/or their clients and/or investors stand to realize significant gains in the event that the prices of either equity or debt securities of Wirecard decline and, on the other hand, may incur losses in the event the prices increase. For this reason, there might be a conflict of interest. We will not update any Materials on our website to reflect changes in positions that may be held by funds and/or investors related to us.

It is possible that there will be developments in the future that cause one or more of such funds or clients from time to time to sell all or a portion of their holdings in open market transactions or otherwise, buy shares (in open market or privately negotiated transactions or otherwise), or trade in options, puts, calls or other derivative instruments relating to such shares, and funds and clients managed by us may currently have such positions whether long, neutral or short. Consequently, short positions or (beneficial) ownership of Wirecard shares (long position) by funds and clients managed by us may vary over time depending on various factors, with or without regard to our views of Wirecard's business, prospects or valuation (including the market price of Wirecard shares), including without limitation, other investment opportunities available to us and funds and clients managed by it, concentration of positions in the portfolios managed by us, conditions in the securities markets and general economic and industry conditions.

The views, forward-looking statements, estimates, projections, assessments and beliefs expressed in the Materials represent the opinions of the authors thereof (“we”, “us” or “our” as the context requires) and are based on publicly available information with respect to Wirecard. We recognize that there may be confidential information in the possession of Wirecard that could lead Wirecard to disagree with our conclusions.

Certain (financial) information and data used in the Materials have been derived or obtained from public filings made by Wirecard and from other generally available and free accessible third party reports and sources. We have not sought or obtained consent from any third party to use any statements or information indicated herein as having been obtained or derived from generally available statements made or published by third parties. Any such statements or information should not be viewed as indicating the support of such third party for the views expressed in the Materials. No warranty or representation, whether express or implied, is made by the inclusion of any data or information, whether derived or obtained from public filings made by Wirecard or from any third party, that such data or information is accurate, complete or comprehensive.

The Materials may include content or quotes from, or hyperlinks to, news coverage or other third party source. The content of such third party materials has not been independently verified by us and does not necessarily represent our views. The authors and/or publishers of such third party materials are independent of, and may have different views to, us. The Materials may not be representative of all relevant news coverage or views expressed by other third parties on the stated issues. Neither we nor any of our affiliates shall be responsible or have any liability for any misinformation contained in any Wirecard filing or third party report.

Nothing in the Materials is intended to be a prediction of the future trading price or market value of securities of Wirecard. There is no assurance or guarantee with respect to the prices at which any securities of Wirecard will trade, and such securities may not trade at prices that may be implied herein. The Materials do not recommend the purchase or sale of any security.

We reserve the right to change any of our opinions expressed in the Materials at any time as it deems appropriate. We disclaim any obligation to update the data, information or opinions contained in the Materials.

Under no circumstances are the Materials intended to be, nor should it be construed as, an offer to sell or a solicitation of an offer to buy any security. We are not offering, selling or buying any security to or from any person through this website or Materials on this website.

We also reserve the right to take any actions with respect to investments in Wirecard as we may deem appropriate, including, but not limited to, communicating with management of Wirecard, other investors and shareholders, stakeholders, industry participants, and/or interested or relevant parties about Wirecard, and to change our intentions with respect to our investments in Wirecard at any time.