Troubled Fintech Lanistar Sees Exit Of Ex-Minister And Chief Executive Officer
Please note that we are not authorised to provide any investment advice. The content on this page is for information purposes only.
Gavin Williamson has announced that he is leaving his position as an advisor at Lanistar. The troubled financial technology company also lost its Chief Executive Officer and is currently dealing with a winding-up petition due to unpaid debts.
Williamson, a former Conservative minister, started his role on Lanistar’s advisory board in late 2023. His job was to give advice, build relationships with financial institutions, and offer leadership.
Lanistar Is Hit With A Closure Petition From 361 Hammersmith Ltd Over Unpaid Bills
A spokesperson for Williamson noted that he is not working at Lanistar anymore and his departure happened before Baber left the company.
Baber, who spent four years at the company, stated that he enjoyed his tenure at Lanistar and wished the team well.
Lanistar is now dealing with a winding-up petition filed by 361 Hammersmith Ltd, the company’s landlord. This petition is because of service charges and unpaid rent. The firm’s financial reports, which are not audited, show that the company lost £4.1 million in 2023 and £2.5 million in 2022
Lanistar was established by Gurhan Kiziloz in 2019 and quickly created headlines due to support from over 3,000 influencers, such as footballers Luis Suarez, James Rodriguez, Paulo Dybala, Karim Benzema, and Kevin De Bruyne; celebrities Georgina Rodriguez, Demi Rose and Chris Hughes; and boxer Tommy Fury.
The company’s main product was a debit card that could connect to up to eight bank cards, to assist clients in managing their finances better using advanced technology.
Lanistar strived to make a huge impact on social media from the first day, but commentators criticized some influencers. The commentators stated that these influencers had breached advertising regulations by failing to label their posts as sponsored content.
Lanistar Aimed To Grow Its Business To A £1 Billion Valuation
In July 2020, the company announced it received £15 million from Milaya Capital, which valued the company at £150 million. The firm revealed that its goal was to grow its business to a value of £1 billion.
Later, Lanistar drew media attention again but this time for the wrong reasons. The Financial Conduct Authority gave a warning about the company, noting that it was offering products or services without getting approval.
A few days later, the FCA retracted its warning after Lanistar made some changes. The FCA stated that Lanistar had agreed to include a clear note in its marketing materials to show that it was not doing regulated activities. The company also planned to update parts of its website.
