Article: Bank of England sees potential risks from cloud data providers

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Bank of England sees potential risks from cloud data providers

Reuters, 21 April 2021

The Bank of England might strengthen its controls on cloud data providers and other technology firms to counter possible risks to the stability of the financial system from the rise of fintech, Deputy Governor Dave Ramsden said.

The Bank of England (BoE) has expressed concerns before about the reliance by financial firms, especially fintech startups, on third-party technology companies for key parts of their operations, and Ramsden said this scrutiny would intensify. Continue reading “Article: Bank of England sees potential risks from cloud data providers”

Article: National Audit Office Launches Latest UK Probe Into Greensill

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National Audit Office Launches Latest UK Probe Into Greensill

Najiyya Budaly, 16 April 2021

Britain’s public spending regulator said on Friday that it will investigate why the government accredited collapsed finance company Greensill Capital to provide cash to struggling businesses through the national COVID-19 support scheme.

The National Audit Office, an independent parliamentary body, said it will launch a probe into the role of Greensill in offering the Coronavirus Large Business Interruption Loan Scheme to large businesses on behalf of the government. It is the latest probe into government links to the supply-chain finance firm, which is in administration. Continue reading “Article: National Audit Office Launches Latest UK Probe Into Greensill”

Article: Fallout From Greensill Collapse Splatters British Government, Leaves Taxpayers With Big Losses

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Fallout From Greensill Collapse Splatters British Government, Leaves Taxpayers With Big Losses

TYLER DURDEN, 07 April 2021

The collapse of UK-based supply chain finance firm Greensill Capital continues to reverberate. In Germany the private banking association has paid out around €2.7 billion to more than 20,500 Greensill Bank customers as part of its deposit guarantee scheme after the bank collapsed in early March. But the deposits of institutional investors such as other financial institutions, investment firms, and local authorities are not covered. Fifty municipalities are believed to be nursing losses of at least €500 million. Continue reading “Article: Fallout From Greensill Collapse Splatters British Government, Leaves Taxpayers With Big Losses”

Article: “An Absolute Car Crash” – Deliveroo Shares Tumble 31% In London IPO

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“An Absolute Car Crash” – Deliveroo Shares Tumble 31% In London IPO

TYLER DURDEN, 31 March 2021

In what some might take to be the latest sign of exhaustion in global equity markets, shares of Deliveroo tumbled 31% in their market debut Wednesday after pricing at the lower end of their range.

Despite pricing near the bottom of its range, Deliveroo’s opening valuation of about £7.6 billion ($10.5 billion) was the highest in London since resources group Glencore’s 2011 IPO, according to Dealogic data.

But traders quickly wiped more than £2 billion ($2.8 billion) off its market cap as shares plunged. It’s a start contrast to the debut of DoorDash, which IPO’d in the US back in December. Its shares soared more than 86% at the open. One equity capital markets banker who was not involved in the deal described the debut to the FT as “absolute car crash”. In recent days, Deliveroo and its bankers had continued to insist that the offering had seen “very significant demand” from investors, even as its debu tprice range started to slip. Continue reading “Article: “An Absolute Car Crash” – Deliveroo Shares Tumble 31% In London IPO”