INVESTOR DEADLINE APPROACHING: Faruqi & Faruqi, LLP Investigates Claims on Behalf of Investors of Ready Capital

Core Viewpoint - Faruqi & Faruqi, LLP is investigating potential claims against Ready Capital Corporation due to allegations of violations of federal securities laws, particularly concerning misleading statements about the company's financial health and non-performing loans [3][5]. Group 1: Legal Investigation - The law firm is encouraging investors who suffered losses in Ready Capital to contact them for discussing legal options [1][9]. - There is a deadline of May 5, 2025, for investors to seek the role of lead plaintiff in a federal securities class action against Ready Capital [3]. Group 2: Allegations Against Ready Capital - The complaint alleges that Ready Capital and its executives made false or misleading statements regarding the collectability of significant non-performing loans in its commercial real estate (CRE) portfolio [5]. - It is claimed that the company did not accurately reflect the need to reserve for these problem loans, which adversely affected its financial results [5]. Group 3: Financial Performance - On March 3, 2025, Ready Capital reported a fourth quarter net loss of $1.80 per share and a full year net loss of$2.52 per share for 2024 [6]. - The company announced it had to take decisive actions, including a total of $284 million in Current Expected Credit Loss (CECL) and valuation allowances to stabilize its balance sheet [6]. - Ready Capital's total leverage increased to 3.8x from the previous quarter's 3.3x [6]. Group 4: Market Reaction - Following the announcement of its financial results, Ready Capital's stock price fell by$1.86, or 26.8%, closing at $5.07 per share on March 3, 2025, with unusually heavy trading volume [7].