Techfinancials Terminates Employment Contracts with Ongoing Troubles

Trading technology provider,  provided updates on its ongoing investment activities on Friday, showing a gloomy future for the company.
It is planning to close its subsidiary companies, thus streamlining its trading structure. This, according to the company, will cut its running costs. Furthermore, it will terminate all its employment agreements.

“Eitan Yanuv will continue to act as the Company’s Non-Executive Chairman, and Asaf Lahav’s role will immediately change from being the Company Chief Executive Officer to Executive Director,” the notice stated.
“The role changes are to reflect the nature of the Company’s investing activities, and as the Company develops, the board will review its corporate governance obligations.”
Restructuring all Business Verticals
Meanwhile, the company is taking significant measures on other fronts as well.
As decided earlier in May, the company is on November 1. This decision was already under a six-month notice termination period.
Additionally, the company is closing all its investments into its wholly-owned subsidiary Footies due to the harsh impact of COVID-19 on the events and ticketing industry.
“Covid-19 has severely impacted the events market, with the sales of tickets to events severely disrupted, and anticipated to be severely disrupted well into 2021,” the announcement added. “TechFinancials will currently halt the development and marketing of the Footies solution.”
Techfinancials also halted the plans of issuing a Diamond ETF by Cedex, another of its subsidiaries. It is planning to ‘sell all or part of its interest in Cedex.’
The troubles of the company deepened with the impact of Coronavirus on the industries. Finance Magnates reported earlier on the of the company in the first half of 2020: its revenue went down to $0.61 million from the previous year’s $2.07 million.
“With the Company structure streamlined and costs reduced, the Company aims to continue an Investment Strategy in the technology sector, as has already begun a review of potential opportunities in the sector,” Techfinancials added.

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