That Globo timeline in full | FT Alphaville

That Globo timeline in full

Morning of Wednesday 21 October: we talk to Costis Papadimitrakopoulos about Globo’s apparent lack of customers, and allegations the company has fabricated sales. The Globo CEO and founder denies any wrongdoing. He puts us in touch with longstanding business associate Thanos Giamas, founder and CEO of Metis SA, to vouch for Globo.

Following that conversation, according to Monday’s statement:

The Chief Executive Officer, Mr Konstantinos Papadimitrakopoulos advised the Company on 25 October 2015 that up to 22 October 2015 he has:

• sold 42,049,655 shares of Globo Plc; and

• pledged 10,000,000 shares of Globo Plc under a personal loan agreement with Lantau Holdings Limited. The loan will default at close of business today because of two consecutive days of the suspension of the Company’s shares from trading.

The number of shares (and voting rights) which Mr Papadimitrakopoulos now holds is 27,734,542 (including the pledged shares) representing 7.42% of the issued share capital. His previously notified holding was 69,784,147 shares (and voting rights) which represented 18.67% of the issued share capital.

Night of Thursday, 22 October: Quintessential Capital Management release a critical report on Globo’s accounting and sales.

Morning of Friday, 23 October: the shares are suspended at Globo’s request. We publish our piece about the difficulty of finding customers.

Day of Saturday, 24 October: Globo holds an emergency board meeting at which “Costis Papadimitrakopoulos the CEO of the Group brought to the attention of the Board certain matters regarding the falsification of data and the misrepresentation of the Company’s financial situation, and offered his resignation, as did Dimitris Gryparis the CFO of the Group,” the company said.

Morning of Monday, 26 October: the company informs the market about the share sales, defaulted loan and resignations. Canaccord Genuity, Globo’s joint corporate broker, resigns with immediate effect.

Further reading:
Globo: lots of sales, fewer partners — FT Alphaville
Looking for short seller abuse — FT Alphaville