NEW YORK, July 30, 2020 (GLOBE NEWSWIRE) -- Faruqi & Faruqi, LLP, a leading national securities law firm, reminds investors in Velocity Financial, Inc. ("Velocity Financial" or the "Company")(NYSE:VEL) of the September 28, 2020 deadline to seek the role of lead plaintiff in a federal securities class action that has been filed against the Company.
If you invested in Velocity Financial stock or options pursuant and/or traceable to the Company's January 17, 2020 initial public offering ("IPO") and would like to discuss your legal rights, click here: www.faruqilaw.com/VEL. There is no cost or obligation to you.
You can also contact us by calling Richard Gonnello toll free at 877-247-4292 or at 212-983-9330 or by sending an e-mail to email@example.com.
FARUQI & FARUQI, LLP
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New York, NY 10017
Attn: Richard Gonnello, Esq.
Telephone: (877) 247-4292 or (212) 983-9330
The lawsuit has been filed in the U.S. District Court for the Central District of California on behalf of all those who purchased Velocity Financial common stock pursuant and/or traceable to the Company's January 17, 2020 IPO. The case, Berg v. Velocity Financial, Inc., No. 20-cv-06780 was filed on July 29, 2020.
The lawsuit focuses on whether the Company and its executives violated federal securities laws by failing to disclose the substantial and growing proportion of the Company’s loans that were non-performing and/or on non-accrual status as of the IPO rendered the statements contained in the Offering Materials and by failing to provide information on the potential impact of the novel coronavirus.
Since Velocity Financial's IPO, the Company's share price has declined from its IPO price of $13.00 by approximately 70%.
The court-appointed lead plaintiff is the investor with the largest financial interest in the relief sought by the class who is adequate and typical of class members who directs and oversees the litigation on behalf of the putative class. Any member of the putative class may move the Court to serve as lead plaintiff through counsel of their choice, or may choose to do nothing and remain an absent class member. Your ability to share in any recovery is not affected by the decision to serve as a lead plaintiff or not.
Faruqi & Faruqi, LLP also encourages anyone with information regarding Velocity Financial's conduct to contact the firm, including whistleblowers, former employees, shareholders and others.
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