Is Ubiquiti in trouble

[AlanD]

Just been reading that they lost 46.7 million in a scam last June...and now appearing to be claiming large cash reserves...while at the same time getting bank loans...

 

https://ftalphaville.ft.com/2018/05/10/1525924800000/Ubiquiti-Networks--of-cash-and-borrowed-time/

[Arthur]

Just been reading that they lost 46.7 million in a scam last June...

"Last June" in this case was June 2015.

 

https://krebsonsecurity.com/2015/08/tech-firm-ubiquiti-suffers-46m-cyberheist

 

Networking firm Ubiquiti Networks Inc. disclosed this week that cyber thieves recently stole $46.7 million using an increasingly common scam in which crooks spoof communications from executives at the victim firm in a bid to initiate unauthorized international wire transfers.

 

Ubiquiti, a San Jose based maker of networking technology for service providers and enterprises, disclosed the attack in a quarterly financial report filed this week with the U.S. Securities and Exchange Commission (SEC). The company said it discovered the fraud on 5 June 2015, and that the incident involved employee impersonation and fraudulent requests from an outside entity targeting the company’s finance department.

 

www.theregister.co.uk/2015/08/09/ubiquiti_stung_by_email_spoofing_fraud

 

Ubiquiti Networks has been defrauded of more than US$46 million by scammers who spoofed its communications.

 

The heist was revealed in an SEC Form 8-K filing.

 

[...]

 

Ubiquiti says its audit committee and outside advisers have, perhaps unsurprisingly, concluded that there are “material weaknesses” in its “internal control over financial reporting”.

 

While it's unsure whether it has insurance coverage for the losses, the company also says “this matter will result in some additional near-term expenses,” but it “does not expect this incident to have a material impact on its business”.

 

The SEC filing notes that Ubiquiti's chief accounting officer has resigned, with an interim replacement appointed.

[XiJ]

Apple has large cash reserves and still takes loans. I wouldn’t be worried by that.

 

https://www.grizzlybearblues.com/2018/2/22/17035170/more-problems-for-robert-pera-company-ubiquiti-networks-nba-memphis-grizzlies-ownership

 

My have something to do with it. SEC investigation = need to buy out minor investors.

I couldn’t read the OP article tho.

[FN-GM]

Apple has large cash reserves and still takes loans. I wouldn’t be worried by that.

 

There is a video on YouTube about it. It is something to do with the money being in bank accounts outside of the USA and if they wanted to use for certain purposes it they would have to pay tax. It is cheaper for them to take out a loan and pay the interest than paying the tax.

[Arthur]

Apple has large cash reserves and still takes loans. I wouldn’t be worried by that.

I agree. A lot of large US companies have huge amounts of debt.

 

How Apple and co became some of America’s largest debt collectors

 

Together, 30 US companies have amassed a portfolio of cash, securities and investments worth more than $1.2tn, according to a Financial Times analysis of filings with the Securities and Exchange Commission. The figure dwarfs the holdings of some of the country’s largest asset managers and has made the likes of Apple, which holds more than $150bn-worth of corporate debt itself, investment managers in their own right.

 

 

I couldn’t read the OP article tho.

Both the FT and WSJ let you read the article if your referrer is facebook.com. I used the following bookmarklet to read it...

 

javascript:location.href='https://facebook.com/l.php?u='+encodeURIComponent(location.href)