Wirecard AG: German financial regulator bans short sales of Wirdcard AG shares

Germany's financial regulatory authority BaFin (Bundesanstalt für Finanzdienstleistungsaufsicht) has issued a temporary ban on short sales of Wirecard AG shares. Investors are prohibited to engage in new short positions or increase existing ones. The ban takes effect immediately and runs through April 18^th.

It is the first time that such a measure has been taken by BaFin on a single stock, and it follows after several weeks of turbulent developments around Wirecard AG shares. Ever since Financial Times published reports linking the Singapore unit of Wirecard AG to fraudulent practices and accounting irregularities (charges which Wirecard management firmly denies), some investors have been placing their bets that the stock will fall. Now BaFin tries to end this speculation, citing in an order published on its website that there was "a serious threat to market trust in Germany".

Wirecard AG has been the target of short selling operations twice before, in 2008 and in 2016. The company has repeatedly rejected and continues to reject all allegations of wrongdoing. Munich prosecutors have launched a probe into possible market manipulation in Wirecard shares by yet unknown parties.

Dr. Wolfgang Schirp, Berlin, whose law firm represents German and international Wirecard investors: "The charges brought by Financial Times need to be cleared up quickly. Though we understand BaFin's move to stop short-selling speculation, we feel such a step should only be the last bullet and strictly temporary. In any case, the underlying facts need to be brought to light quickly. Our clients will closely follow the course of events."

For further information please contact:

Dr. Wolfgang Schirp and Dr. Susanne Schmidt-Morsbach, Schirp & Partner Rechtsanwälte mbB, Leipziger Platz 9, D - 10117 Berlin, tel.: +49-30-3276170, mail: schirp@schirp.com or schmidt-morsbach@ssma.de, URL www.schirp.com