Share trading in software firm WANdisco has been suspended over “significant, sophisticated and potentially fraudulent irregularities”.
The data activation platform, headquartered in both Sheffield and California, is led by founder and CEO Dave Richards MBE.
The company said that an investigation by Richards and CFO Erik Miller uncovered the irregularities in regard to received purchase orders and related revenue and bookings “as represented by one senior sales employee”.
“These irregularities give rise to a potential material mis-statement of the company’s financial position,” the firm stated to the London Stock Exchange.
“The identification of these irregularities will significantly impact the company’s cash position and lead to a material uncertainty regarding its overall financial position and significant going concern issues.
“The board now expects that anticipated FY22 revenue could be as low as $9 million and not $24m, as previously reported. In addition, the company has no confidence in its announced FY22 bookings expectations.
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“As a result, the company has requested that its shares be suspended from trading on AIM while it conducts an investigation with its external legal and professional advisers into the nature of this activity and its true financial position.”
The news follows a recent announcement of plans to explore an additional listing in New York.
WANdisco helps businesses to harness the power within their unstructured data using analytics tools powered by artificial intelligence.
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