Kuznicki Law PLLC notifies investors that a class action has commenced in the United States District Court for the Southern District of New York on behalf of shareholders of Ready Capital Corporation who purchased shares between November 7, 2024 and March 2, 2025.
Ready Capital and certain of its executives are charged with failing to disclose material information during the Class Period, violating federal securities laws.
On March 3, 2025, the Company reported financial results for its fourth quarter and full year 2024, disclosing a quarterly net loss of $1.80 per share and full year 2024 net loss of $2.52 per share due to “decisive actions to stabilize” its “balance sheet going forward by fully reserving for all of our nonperforming loans in our CRE portfolio,” including taking $284 million in combined Current Expected Credit Loss and valuation allowances in order to mark the Company’s non-performing loans to current values, among other actions.
On this news, the price of Ready Capital’s shares declined more than 26% to close at $5.07 per share on March 3, 2025, on unusually heavy trading volume.
If you wish to choose counsel to represent you and the class, you must apply to be appointed lead plaintiff and be selected by the Court. The lead plaintiff will direct the litigation and participate in important decisions including whether to accept a settlement for the class in the action. The lead plaintiff will be selected from among applicants claiming the largest loss from investment in the respective securities during the class periods. Members of the class will be represented by the lead plaintiff and counsel chosen by the lead plaintiff. No class has yet been certified in the above action. Appointment as Lead Plaintiff is not required to partake in any recovery.
Shareholders have until May 5, 2025 to request that the court appoint them lead plaintiff.