NEW YORK, March 28, 2025 (GLOBE NEWSWIRE) — Leading securities law firm Bleichmar Fonti & Auld LLP announces that a lawsuit has been filed against Ready Capital Corporation (NYSE: RC) and certain of the Company’s senior executives for potential violations of the federal securities laws.
If you invested in Ready Capital, you are encouraged to obtain additional information by visiting https://www.bfalaw.com/cases-investigations/ready-capital-corporation.
Investors have until May 5, 2025, to ask the Court to be appointed to lead the case. The complaint asserts claims under Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 on behalf of investors who purchased Ready Capital stock. The case is pending in the U.S. District Court for the Southern District of New York and is captioned Quinn v. Ready Capital Corporation, et al., No. 25-cv- 01883.
Why was Ready Capital Sued for Securities Fraud?
Ready Capital is a real estate finance company which originates, acquires, finances and services lower-to-middle-market (LLM) commercial real estate (CRE) loans, small business administration loans, residential mortgage loans, and other real estate-related investments.
As alleged, Ready Capital misrepresented the credit performance of its loans, stating that its “CRE portfolio is showing stabilizing credit metrics” and that it was “well positioned to capitalize on the tailwinds in the CRE market.” In reality, Ready Capital’s CRE portfolio was plagued by non-performing loans and its CRE portfolio had not stabilized.
The Stock Declines as the Truth is Revealed
On March 3, 2025, Ready Capital announced financial results for 4Q 24, disclosing that it would recognize a $382 million charge, which included $284 million in combined Current Expected Credit Losses (CECL) and valuation allowances on its nonperforming loans. Ready Capital also announced it would be reducing its dividend to $0.125 per share.
This news caused the price of Ready Capital stock to decline almost 27%, from $6.93 per share at close on February 28, 2025, to $5.07 per share at close on March 3, 2025.
Click here if you suffered losses: https://www.bfalaw.com/cases-investigations/ready-capital-corporation.
What Can You Do?
If you invested in Ready Capital you may have legal options and are encouraged to submit your information to the firm.
All representation is on a contingency fee basis, there is no cost to you. Shareholders are not responsible for any court costs or expenses of litigation. The firm will seek court approval for any potential fees and expenses.
Submit your information by visiting:
https://www.bfalaw.com/cases-investigations/ready-capital-corporation
Or contact:
Ross Shikowitz
ross@bfalaw.com
212-789-3619
Why Bleichmar Fonti & Auld LLP?
Bleichmar Fonti & Auld LLP is a leading international law firm representing plaintiffs in securities class actions and shareholder litigation. It was named among the Top 5 plaintiff law firms by ISS SCAS in 2023 and its attorneys have been named Titans of the Plaintiffs’ Bar by Law360 and SuperLawyers by Thompson Reuters. Among its recent notable successes, BFA recovered over $900 million in value from Tesla, Inc.’s Board of Directors, as well as $420 million from Teva Pharmaceutical Ind. Ltd.
For more information about BFA and its attorneys, please visit https://www.bfalaw.com.
https://www.bfalaw.com/cases-investigations/ready-capital-corporation
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