Currency service provider Travelex has put itself up for sale, the London-based company said on Wednesday, a month after parent Finablr warned that it was preparing for a potential insolvency. Travelex has been grappling with its own share of problems after the company became the target of a ransomware attack in late December that could lead to an estimated 25 million pound ($30.76 million) hit to its first-quarter underlying core earnings.Forex firm Travelex looks to sell itself amid troubles at parent company – Reuters
One of the few times a cyber incident has completely crippled a business. The ransomware probably one of a three-pronged series of issues. The COVID-19 lockdown also contributed to the slowdown, and the owner being embroiled in major fraud investigations most likely didn’t help either.
Still, it makes for a very interesting case study once all the details come to light. Although the correlation between being hit by ransomware on new years eve and the share price falling off a cliff is undeniable.
The owner, BR Shetty acquired Travelex in 2014 and floated the business as a part of the wider Finablr group last year at a valuation of about £1.2bn. Shetty also founded NMC, a healthcare company which is under investigation for alleged fraud and debts of over £6.5bn.
I guess when you have so many things on your plate, cyber security kind of drops down the list of priorities… a bit like how tax evasion was the least of Al Capones worries.