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Thu 23 Apr 2020 10:07 AM

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Embattled Finablr-owned Travelex goes up for sale

BR Shetty has resigned from the board off Travelex, although he remains in place as chairman and majority stakeholder at Finablr

Embattled Finablr-owned Travelex goes up for sale

Travelex is one of a number of currency exchange and payment firms within the embattled Finablr Group.

The board of Finablr-owned Travelex has decided to seek offers for the forex firm, the company said in a statement to the London Stock Exchange.

In the statement, Travelex said that “parties with a potential interest in making a proposal should contact PwC in order to entertain a customary non-disclosure agreement, following which they will receive certain information on the Travelex group, and will be invited to submit their indicative proposals to PwC on that basis.”

Travelex is one of a number of currency exchange and payment firms within the embattled Finablr Group, which in January reported than over 50 percent of its shares had been pledged as security against loans that BRS investments – owned by BR Shetty – had used to purchase Travelex in 2014.

Suspended

Finablr Group’s shares were suspended in March, with the company saying it faced “significant constraints” in accessing liquidity.

BR Shetty has resigned from the board off Travelex, although he remains in place as chairman and majority stakeholder at Finablr.

In January, Travelex’s business was crippled by a large-scale cyber-attack that forced the firm to suspend services across over 30 countries.

While the company initially said that the attacks were unlikely to have a “material impact” on its results, a statement on the London Stock Exchange noted that the disruptions are expected to knock £25m from its Q1 earnings.

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