Worldline Shares Rebound After Media Allegations
Worldline shares saw early trade recovery after allegations from a media consortium caused a 38% stock fall. The reports claimed Worldline continued with banned merchants according to BaFin's 2023 regulations. In response, the company reinforced controls and cut ties with non-compliant clients.
Worldline's shares showed resilience, rebounding in early trade after a significant drop prompted by media allegations. The payments group's stock fell by 38%, erasing 500 million euros of its market value.
The controversy arose when 21 European media outlets reported that Worldline had continued business dealings with merchants prohibited by the German regulator BaFin in 2023. These merchants were banned due to anti-money laundering and anti-fraud concerns tied to Worldline's German subsidiary, Payone.
In reaction to these allegations, Worldline stated it has bolstered merchant risk controls since 2023, terminating relationships with clients who failed to comply. Trading in Worldline's shares was briefly suspended on Euronext Paris as shares rallied by up to 12.1% following the initial drop.
(With inputs from agencies.)
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