LOS ANGELES–(BUSINESS WIRE) – Glancy Prongay & Murray LLP ("GPM"), a leading national shareholder law firm, announced today that it is initiating an investigation on behalf of Velocity Financial, Inc. ("Velocity" or the "Company") (NYSE) has: VEL) investors regarding the possible violations of the company and its executives against the federal securities laws.
If you have suffered a loss in your Velocity investments or would like to inquire whether you may be able to make claims to offset your loss in accordance with federal securities laws, you can use your contact information at https://www.glancylaw.com/cases / Submit velocity-financial -inc /. You can also contact GPM's Charles H. Linehan at 310-201-9150, toll free at 888-773-9224, or email Shareholder@glancylaw.com to learn more about your rights.
In January 2020, Velocity completed its IPO, sold 7,250,000 shares at a price of $ 13 a share, and raised approximately $ 94 million.
On May 13, 2020, the company announced its financial results for the first quarter of 2020, which also included the IPO. Velocity reported a 50% decrease in net income and announced that it would remain indefinitely, effectively stopping the company's potential loan portfolio growth. The company also reported that its non-performing loan portion had accelerated to $ 174 million, almost double the unpaid principal over the previous year.
Since the IPO, the company's shares have traded as low as $ 2.47 a share, or 80% below the IPO price of $ 13.
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Whistleblower: Persons with non-public information about Velocity should consider their options to support the investigation or to use the SEC Whistleblower program. Under the program, whistleblowers who provide original information can receive rewards of up to 30 percent for every successful recovery by the SEC. For more information, contact Charles H. Linehan at 310-201-9150 or 888-773-9224 or email Shareholders@glancylaw.com.
Glancy Prongay & Murray LLP is a leading law firm that represents investors and consumers in securities disputes and other complex class actions. ISS Securities Class Action Services consistently ranked GPM in its annual SCAS Top 50 report. In 2018, GPM was ranked as one of the top five law firms in terms of the number of class settlements for securities and one of the top six law firms in terms of total size of comparisons in U.S. dollars. With four offices across the country, GPM's nearly 40 lawyers have made groundbreaking decisions and reclaimed billions of dollars for investors and consumers in securities, antitrust, consumer and employment lawsuits. GPM's lawyers have handled cases that cover a wide range of corporate misconduct, including cases of financial adjustments, internal control weaknesses, profit management, fraudulent profit policies and forward-looking statements, misconduct by auditors, insider trading, violations of FDA regulations, measures that lead to FDA and DOJ investigations and many other forms of corporate misconduct. GPM's lawyers have worked on securities cases that affect nearly every industry and sector in the financial markets, including energy, consumer discretionary, consumer staples, real estate and REITs, finance, insurance, information technology, healthcare, biotechnology, cryptocurrency and medical devices, and many more . GPM's past success has been extensively reported by leading news and industry publications including the Wall Street Journal, the Financial Times, Bloomberg Businessweek, Reuters, the Associated Press, Barrons, Investors Business Daily, Forbes and Money.
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