SAN DIEGO, Aug. 12, 2015 (GLOBE NEWSWIRE) -- The Shareholders Foundation, Inc. announces that a lawsuit was filed on behalf of certain purchasers of shares of On Deck Capital Inc (NYSE:ONDK) over alleged Violations of Federal Securities Laws by On Deck Capital.
Investors who purchased shares of On Deck Capital Inc (NYSE:ONDK) have certain options and for certain investors are short and strict deadlines running. Deadline: October 5, 2015. (NYSE:ONDK) investors should contact the Shareholders Foundation at firstname.lastname@example.org or call +1(858) 779 - 1554.
The plaintiff claims that defendants made false and/or misleading statements and/or failed to disclose that the true rate of default for On Deck Capital’s loan portfolio was steadily increasing, that the true value of the Company’s loan portfolio was in material decline, and that as a result of the foregoing, On Deck Capital’s public statements were materially false and misleading at all relevant times.
On February 11, 2015, less than two months after the Company’s December 16, 2014 initial public offering (“IPO”), an article was published entitled “On-Deck Capital: Bad Loans, Bad Interest Rates, Bad Business Plan.” The article described, in part, how On Deck Capital’s Registration Statement for the IPO significantly understated the default rate for On Deck Capital’s loan portfolio.
On March 18, 2015, another report was published that detailed concerns with On Deck Capital’s business model, including inherent risks surrounding an untested credit model, growing competition, uncertainty with regard to interest rates, and anticipated regulatory threats, all of which created a risky environment for On Deck Capital Inc investors. According to the report On Deck Capital’s unsustainable business model could ultimately lead to slower growth and higher expenses.
On July 1, 2015, On Deck common stock dropped to a low of $11.15 per share, a decline of over 40% from the IPO price and of over 60% from its almost $29 per share high on December 18, 2014. The plaintiff claims that the stock price drop after news reports of rising default rates in On Deck Capital Inc's loan portfolios and declining value of its business model.
Those who purchased On Deck Capital Inc (NYSE:ONDK) shares have certain options and should contact the Shareholders Foundation, Inc. by e-mail at email@example.com or call +1 (858) 779-1554.
The Shareholders Foundation, Inc. is a professional portfolio legal monitoring and a settlement claim filing service, which does research related to shareholder issues and informs investors of securities class actions, settlements, judgments, and other legal related news to the stock/financial market. The Shareholders Foundation, Inc. is not a law firm. The information is provided as a public service. It is not intended as legal advice and should not be relied upon.
Shareholders Foundation, Inc. Michael Daniels +1 (858) 779-1554 firstname.lastname@example.org 3111 Camino Del Rio North Suite 423 San Diego, CA 92108
Source:Shareholders Foundation, Inc.