Latest news with #MangroveCapital
Telegraph
14-05-2025
- Business
- Telegraph
Bank founded by Labour donor investigated after year of chaos
A spokesman for the Bank of London said: 'These accounts relate to a financial year in which the bank operated under entirely different leadership.' Bank requires 'immediate additional capital' Since last year's turmoil, the bank has secured £57m from its main investor, Mangrove Capital. It has also appointed a new board and chief executive, with Christopher Horne, a former Credit Suisse director, tasked with leading the business. In its latest accounts, filed seven months late, the Bank of London reported it had fallen to a £12.4m loss in the year to December 2023. It also highlighted how it ran low on cash in early 2024, claiming the bank 'required immediate additional capital'. Bosses have since launched a restructuring of the business, which has resulted in the departure of more than 100 staff. Tensions over the Bank of London first emerged in September 2024 when it was hit with a winding-up petition from HMRC, one of the most serious actions a creditor can take. The filing took the bank unawares, which insisted it resulted from a 'simple administrative handling delay'. The petition was later withdrawn. Prior to his departure, the Bank of London had raised tens of millions of pounds under Mr Watson, a former Nike and Barclays executive. Mr Watson was also known for donating hundreds of thousands of pounds to Labour Party MPs, including Yvette Cooper, Peter Kyle and Wes Streeting. The latest results also revealed that EY, the bank's auditor, warned of a 'material uncertainty' hanging over the company's ability to continue as a going concern. It said it had uncovered that hundreds of thousands of pounds of revenue were wrongly accounted for, and flagged risks relating to the bank's financial controls. The bank also reported that 'inadequate record keeping' had left it unable to verify the accuracy of its share-based payments scheme, which was now being reviewed by the board. A Bank of London spokesman said: 'Under new ownership and with new leadership – and having secured £57m of Mangrove Capital-led funding and with a commitment of a further £25m – the bank has embarked on a comprehensive transformation. 'This transformation has seen the bank's governance greatly strengthened with a reconstituted board designed for robust oversight and strategic leadership.' Mr Watson was contacted for comment.
South China Morning Post
03-04-2025
- Business
- South China Morning Post
As Trump decrees ‘de minimis' exemption dead for China goods, what's the ‘bottom line'?
US President Donald Trump's elimination of the 'de minimis' exemption for Chinese goods will ultimately hurt American consumers, while Chinese cross-border e-commerce firms are facing a hit but could remain 'competitive' despite the harsher market conditions, according to analysts. Advertisement Trump signed an executive order on Wednesday to remove the exemption, which previously allowed packages worth less than US$800 to enter the United States duty-free, following his roll-out of 'reciprocal tariffs' targeting nearly all US trade partners, including a 34 per cent increase in import duties on Chinese goods. Ending the exemption on May 2 would 'have a large impact on China's low-cost goods-selling platforms, such as Temu and Shein', said Bob Chen, director at Shenzhen-based venture capital firm Mangrove Capital. 'They either have to bear the cost or add it to the end price.' But he noted how some of those Chinese firms are likely to remain competitive, given their low-cost advantage, as many sellers and supply chains are based in China. 'Even if they add the full extra cost to consumers, they are still competitive on price. And I don't think other platforms such as Amazon [could replace them],' Chen said. 03:19 Trump slaps 34% reciprocal tariffs on Chinese imports as part of 'Liberation Day' package Trump slaps 34% reciprocal tariffs on Chinese imports as part of 'Liberation Day' package The 'de minimis' exemption has benefited China's cross-border e-commerce industry , with vendors sending small shipments directly to US consumers while avoiding US import duties and customs checks.
South China Morning Post
10-02-2025
- Business
- South China Morning Post
China's lottery sales see biggest year ever as games become ‘more fun'
China's total lottery sales surpassed 600 billion yuan (US$82 billion) last year for the first time in its 40-year history, according to fresh figures from the Ministry of Finance. Advertisement Total sales for 2024 hit a record high of 623.5 billion yuan, marking year-on-year growth of 7.6 per cent. The single-digit growth continued the upward momentum over the past three years that has provided a high comparison base. Guizhou province, for example, saw the nation's largest-ever lottery payout last February, when a 28-year-old man won 680 million yuan. In comparison, Hong Kong's biggest lottery jackpot – HK$188 million (US$24.14 million) – was won during the recent Lunar New Year holiday. State media reports that sales of lottery tickets help support the nation's welfare system and its sports industry, and under lottery-management rules, funds are used for administrative expenses, public-welfare-related projects, and to pay for prizes. 'People would like to try their luck,' said Bob Chen, director at Shenzhen-based venture capital firm Mangrove Capital. 'But another reason might be that the lottery is becoming more fun, with far more diverse ways of playing than before.' Advertisement With the lottery industry known for seeing growth in the face of an adverse economic environment, Chen added that people see the lottery as a 'fun game', and therefore lottery stands 'are always among the most popular attractions in shopping malls'.
