Investors can contact the law firm at no cost to learn more about recovering their losses
LOS ANGELES, Sept. 08, 2023 (GLOBE NEWSWIRE) -- The Portnoy Law Firm advises Sea Limited (“Sea” or the “Company”) (NYSE: SE) investors that a lawsuit filed on behalf of investors that purchased Sea securities between April 23, 2022 and May 15, 2023, both dates inclusive (the “Class Period”).
Investors are encouraged to contact attorney Lesley F. Portnoy, by phone 844-767-8529 or email: lesley@portnoylaw.com, to discuss their legal rights, or click here to join the case via www.portnoylaw.com. The Portnoy Law Firm can provide a complimentary case evaluation and discuss investors’ options for pursuing claims to recover their losses.
On May 16, 2023, Sea, a company, released its financial results for the first quarter of 2023, which showed lower-than-expected earnings due to a significant increase in loan loss reserves. The company reported that its provision for credit losses had risen by 120.5% to US$177.4 million in Q1 2023 from US$80.5 million in Q1 2022. This increase was primarily attributed to the company's expansion to a broader user base and the growth of its loan book.
Additionally, Sea disclosed that its Chief Investment Officer had left that role and joined the Company’s Board of Directors. Following this news, Sea's stock price dropped by $15.62, or 17.4%, closing at $72.45 per ADS on May 16, 2023, resulting in losses for investors.
A class-action complaint filed against Sea alleges that the company and its executives made materially false and/or misleading statements during the Class Period. They failed to disclose material adverse facts about the Company's business, operations, and prospects. The allegations include the company overstating its ability to manage the growth of its user base and loan book while enhancing profitability. The expansion to a broader user base and growing loan book was said to render the company significantly more vulnerable to higher credit losses. As a result, the company was likely to book a significant increase in loan loss reserves, leading to a negative impact on earnings. The complaint suggests that Defendants' positive statements about the Company's business, operations, and prospects were materially misleading and lacked a reasonable basis at all relevant times.
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The Portnoy Law Firm represents investors in pursuing claims against caused by corporate wrongdoing. The Firm’s founding partner has recovered over $5.5 billion for aggrieved investors. Attorney advertising. Prior results do not guarantee similar outcomes.
Lesley F. Portnoy, Esq.
Admitted CA and NY Bar
lesley@portnoylaw.com
310-692-8883
www.portnoylaw.com
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