Barely a month after its celebrated listing on the New York Stock Exchange, Nigerian e-commerce company Jumia Technologies, in which MTN has a 30% stake, has been called an “obvious fraud’ whose listing is the “worst abuse of the IPO system since the Chinese RTO fraud boom almost a decade ago”..
Like most internet companies, Jumia has yet to record a profit. It reported losses of €165.4-million and €170.4-million in 2017 and 2018 respectively to bring its total accumulated loss to €862-million for the seven-year-old company. The numbers are typical of tech start-ups whereby scaling up and growing market share is foremost to achieving profitability over the long term, says Sinesipho Maninjwa, a CA and a financial news commentator.
Before coming to the US Markets, Jumia made an effort in 2018 to raise capital. This is where the rubber hits the road, or veers off it. According to Citron the information contained in Jumia’s confidential investor presentation of 2018 differs materially from Jumia’s latest F-1 filing. This information was missing from the original F-1 from a month earlier which means one of three things, Citron says. Jumia just found out about this historical fraud; this is a new fraud that will affect future financials, or Jumia has been hiding the fraud for some time but going public forced their lawyers to add this language.
We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:
Malaysia Malaysia Latest News, Malaysia Malaysia Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Business Maverick: Pakistan Secures $6 Billion IMF Bailout to Ease Economic CrisisPakistan and the International Monetary Fund reached an agreement on a loan of about $6 billion designed to help the South Asian nation avert an economic crisis.
Source: dailymaverick - 🏆 3. / 84 Read more »
Business Maverick: Ghosn’s Successor Tied to Short Leash as Nissan Profit PlummetsCarlos Ghosn’s arrest threw Nissan Motor Co. into a corporate tailspin with allegations of self-dealing, profligate spending and filing false statements. Now the automaker’s profits are falling off a cliff, and successor Hiroto Saikawa may go down with them.
Source: dailymaverick - 🏆 3. / 84 Read more »
Business Maverick: Bitcoin Climbs Above $7,000 as Cryptocurrency Rally ExtendsBitcoin climbed to the highest since September, briefly surpassing $7,000, as a rally in cryptocurrencies gathered pace in trading over the weekend.
Source: dailymaverick - 🏆 3. / 84 Read more »
Business Maverick: Trump Warns China to Act on U.S. Trade Deal or Face Worse TermsPresident Donald Trump said it would be wise for China to “act now” to finish a trade deal with the U.S., warning that “far worse” terms would be on offer for them after what he predicted would be his certain re-election in 2020.
Source: dailymaverick - 🏆 3. / 84 Read more »
BUSINESS MAVERICK : The economic cost of tax, our low savings rate and red tapeFor years, policymakers have worried that our savings rate is too low. International comparisons often show that South Africa has one of the lowest savings rates in the world. These numbers generate widespread anxiety, and for good reason. Savings are the key to capital formation, and every economic theory — even Marxism — teaches that capital formation is necessary to raise wages and stimulate long-term economic growth. Why have our tax policies become opposed to it?
Source: dailymaverick - 🏆 3. / 84 Read more »
BUSINESS MAVERICK: The dividend/growth balance: Anglo’s truly amazing debt turnaroundGetting the debt/dividend balance right is tricky — very tricky for mining companies. Pile up too much cash, investors get antsy. Buckle to investors’ immediate desires, long-term growth gets hit. Years of divesting from non-core assets and implementing stringent spending programmes have allowed Anglo American to significantly reduce its debt load to US$4.5bn in June 2018, down from a peak of US$14.1bn in June 2015. In 2019 it was able to commit to 40% of cash resources to a dividend payout.
Source: dailymaverick - 🏆 3. / 84 Read more »
Business Maverick: Analysis: Failure to win over youth voters could put SA economy at riskSome 8m youth voters are either unregistered or registered, but unlikely to vote and 700,000 voters are undecided, given their economic concerns. Corruption and expectations that the economy will not improve post-election are keeping the youth on the fence, while undecided voters cite unemployment as their biggest concern.
Source: dailymaverick - 🏆 3. / 84 Read more »
Business Maverick: S. Africa Taken to Court After Doubling Coal-Emission LimitsSouth Africa’s government is facing a legal challenge over its decision last year to double the amount of sulfur dioxide that coal-fired power plants and refineries can emit.
Source: dailymaverick - 🏆 3. / 84 Read more »
Business Maverick: Tuesday May 7: Five Things You Need to Know to Start Your DayTrump’s top negotiator confirmed his tariff threat and accused Beijing of reneging on trade commitments. A former Goldman Sachs banker implicated in the 1MDB scandal is in plea talks in the U.S. And China’s own Starbucks rival is seeking up to $510 million in a U.S. IPO. Here are some of the things people in markets are talking about today.
Source: dailymaverick - 🏆 3. / 84 Read more »
Business Maverick: Chinese Stocks See Muted Gains After Monday’s $487 Billion RoutThere was no rush to buy the dip in Chinese stocks after their biggest rout in more than three years.
Source: dailymaverick - 🏆 3. / 84 Read more »
Business Maverick: South African Assets Signal Rising Anxiety as Election NearsSouth African assets are signaling increasing investor anxiety about Wednesday’s election, with the fate of the rand and government bonds tied to the extent of the ruling African National Congress’ expected majority and what that implies for policy.
Source: dailymaverick - 🏆 3. / 84 Read more »