Securities Class Action Lawsuit Filed Against Ready Capital Corporation: What Does This Mean for Investors and the World?
New York, NY, March 7, 2025 – Gainey McKenna & Egleston, a leading securities fraud law firm, announced today the filing of a securities class action lawsuit in the United States District Court for the Southern District of New York. The lawsuit was filed on behalf of all persons or entities who purchased or otherwise acquired Ready Capital Corporation (“Ready Capital” or the “Company”) (NYSE: RC) securities between November 7, 2024, and March 2, 2025, inclusive (the “Class Period”).
About Ready Capital Corporation
Ready Capital Corporation is a specialty finance company that provides capital solutions to small and medium-sized businesses (SMBs) and individuals. The Company offers various financing solutions, including commercial real estate loans, small business loans, and consumer loans. Ready Capital’s business model is designed to generate stable and recurring revenue through its loan portfolio.
Allegations in the Lawsuit
The complaint alleges that the Company and certain of its executives made false and misleading statements regarding the Company’s financial condition and business prospects. Specifically, the complaint alleges that the Company failed to disclose material information regarding its loan portfolio’s quality, including the level of non-performing loans and the adequacy of its loan loss provisions. As a result of these alleged misrepresentations, the Company’s stock traded at artificially inflated prices during the Class Period.
Impact on Individual Investors
Individual investors who purchased or otherwise acquired Ready Capital Corporation securities during the Class Period may be able to recover their losses through the securities class action lawsuit. If the plaintiffs are successful, they may be eligible to receive damages and other relief. Investors are encouraged to contact Gainey McKenna & Egleston to discuss their potential recovery.
Impact on the World
The securities class action lawsuit against Ready Capital Corporation could have broader implications for the financial services industry and the capital markets as a whole. The case highlights the importance of transparency and accurate disclosure in the financial markets. It also underscores the need for investors to carefully evaluate the quality of a company’s loan portfolio and the adequacy of its loan loss provisions. Furthermore, the case may lead to increased scrutiny of specialty finance companies and other non-bank lenders.
Conclusion
The securities class action lawsuit against Ready Capital Corporation is a significant development for investors and the financial services industry. The allegations in the lawsuit, if proven true, could result in significant damages for individual investors and may lead to increased regulatory scrutiny of the specialty finance industry. It is essential for investors to stay informed about the progress of the lawsuit and to work with experienced securities fraud law firms to protect their interests. As always, investors are encouraged to exercise caution when investing in the stock market and to carefully evaluate the quality of a company’s financial statements and disclosures.
- Gainey McKenna & Egleston announces securities class action lawsuit against Ready Capital Corporation
- The lawsuit was filed on behalf of all persons or entities who purchased or otherwise acquired Ready Capital securities between November 7, 2024, and March 2, 2025
- Allegations include failure to disclose material information regarding loan portfolio quality and loan loss provisions
- Individual investors who purchased Ready Capital securities during the Class Period may be able to recover losses
- The case could have broader implications for the financial services industry and the capital markets
