LDI.US
id: 896
loanDepot (LDI) IPO Finance Issues $3.5M Settlement
It is still possible to file a late claim. The court will decide whether to accept late claims or not.
C.D. California
Court8:21-cv-01449
Case number18 Feb 2021
Class period Start22 Sept 2021
Class period End24 Apr 2024
Claim deadlineloanDepot agreed to pay $3.5M to investors to resolve the claims over misleading about the IPO.
Case Details:
loanDepot sold 3.85M shares at $14 each in its IPO, raking in about $54M. Notably, nearly 40% of these shares were sold by CEO Anthony Hsieh and investor Parthenon Capital.
Supposedly, loanDepot's Registration Statement hid a big drop in refinance and profit margins.
When loanDepot's Q2 2021 results was published on August 3, 2021, $LDI dropped over 42% by August 17, 2021, exposing undisclosed risks.
loanDepot has now decided to resolve all the allegations and pay a $3.5M settlement.
Case Status
Accepting Late Claims
Alleged Offence
Mismanagement,
Misleading Statements,
Omissions
Suspected Party
Directors,
Management
Security Type
Stocks
Trade Direction
Long
Payout per Share
0.37
Filing date
03 September 2021
Plaintiffs
Eljon Lako
Attorneys
Pomerantz LLP
Defendants
Anthony Hsieh, Patrick Flanagan, Nicole Carrillo, Andrew C. Dodson, John C. Dorman, Brian P. Golson, Dawn Lepore
Judge
Josephine L Staton
Settlement agreement date
2023-07-26
Court hearing date
19 April 2024
Exclusion deadline
12 April 2024
Class wide damages
$23,446,500
Trades matching type
FIFO
+$3,500,000
Cash Settlement Amount