The published balance sheets in Brazil show <€5m of MCA. The audited accounts of Wirecard Turkey show zero MCA. Wirecard now claim that MCA is shrinking. A related party in Singapore went from €0 to €115M of MCA in 6 weeks – is Wirecard round-tripping revenues with Senjo in Singapore?
Wirecard first announced the MCA product in November 2018, and at the time the size and growth of MCA in Brazil didn’t make sense to us given our understanding of the size of Wirecard Brazil. Our initial work, done without access to the full accounts, established that the MCA product in Brazil could only be a fraction of the size Wirecard claimed. In response, Wirecard told analysts that MCA is in Brazil and Turkey, and we subsequently uncovered the fact that MCA is actually illegal in Turkey. If you'd like to review this initial work, key highlights can be found below.
|Wirecard Brazil (€M)||Our|
|Company Reported MCA||400||400|
|Brazil % Estimate||40%|
|Brazil MCA Estimate||160||160|
|Monthly Credit Volume||37.2||37.2|
|Calculated MCA Balance||18.6||18.6|