Recovery of Losses in Wirecard Bonds
Shares of Wirecard – a German payment processor company – recently crashed after nearly $2 billion in cash on its balance sheet allegedly does not exist. Wirecard’s CEO also was recently arrested. And now it has come to light that Credit Suisse allegedly sold about $1 billion in convertible bonds from Wirecard after entering into a strategic partnership with it in September 2019, according to reports. Those bonds now trade for 12% of face value. While investors in the bonds have suffered huge losses, Credit Suisse allegedly has limited exposure.
Credit Suisse allegedly made the convertible-bond sales around the same time that claims of accounting misconduct were being leveled at Wirecard. The sales may have helped Wirecard survive for longer than it should have, as it brought in a last infusion of cash before the company became undone.
In addition to the convertible bonds, Credit Suisse allegedly aimed to structure a transaction that would transfer Wildcard’s credit risks to third-party investors. Credit Suisse ran the deal through a Dutch company it operates, Argentum Netherlands BV. The Argentum bonds then were sold to investors.
If you purchased any Wirecard bonds, you may have legal claims against Credit Suisse, Argentum, or any financial advisor who recommended buying the bonds. Please contact one of our Business Trial Group attorneys at 800-816-1031 to further discuss your claims.
Morgan & Morgan’s Business Trial Group is part of the largest contingency law firm in the nation, with more than 500 lawyers and 50 offices. We regularly battle against brokerage firms, investment advisory firms, and banks, and have helped investors recover tens of millions of dollars of investment losses.
The Business Trial Group will never charge hourly fees or expensive retainers. We are only paid if we successfully recover money for you.