Law Offices of Howard G. Smith announces that a class action lawsuit has been filed on behalf of investors who purchased Blue Ridge Bankshares, Inc. (“Blue Ridge” or the “Company”) (NYSE: BRBS) securities between March 10, 2023 and October 31, 2023, inclusive (the “Class Period”). Blue Ridge investors have until February 5, 2024 to file a lead plaintiff motion.
Investors suffering losses on their Blue Ridge investments are encouraged to contact the Law Offices of Howard G. Smith to discuss their legal rights in this class action at 888-638-4847 or by email to howardsmith@howardsmithlaw.com.
On October 31, 2023, Blue Ridge disclosed that it had “determined that certain specialty finance loans that, as previously disclosed, were placed on nonaccrual, reserved for, or charged off in the interim periods ended March 31, 2023 and June 30, 2023 should have been reported as nonaccrual, reserved for, or charged off in earlier periods,” and that its “audited financial statements included in the Company’s annual report on Form 10-K for the year ended December 31, 2022, and unaudited interim financial statements included in quarterly reports on Form 10-Q for the quarters ended March 31, 2023 and June 30, 2023 should no longer be relied upon and will be restated.” The Company further disclosed that the restatements will result in “lower net income and earnings per share” and “that a material weakness existed in the timely risk grading, nonaccrual status, and, thus, in the determination of the adequacy of the allowance for credit losses for the specialty finance portfolio of loans[.]”
On this news, Blue Ridge’s stock price fell $1.06, or 33.7%, to close at $2.09 per share on November 1, 2023, thereby injuring investors.
The complaint filed in this class action alleges that throughout the Class Period, Defendants made materially false and/or misleading statements, as well as failed to disclose material adverse facts about the Company’s business, operations, and prospects. Specifically, Defendants failed to disclose to investors that: (1) Blue Ridge’s financial statements from March 10, 2023 to the present included certain errors; (2) as a result, Blue Ridge would need to restate its previously filed financial statements from March 10, 2023 to October 31, 2023; and (3) as a result, Defendants’ positive statements about the Company’s business, operations, and prospects were materially misleading and/or lacked a reasonable basis at all relevant times.
If you purchased Blue Ridge securities, have information or would like to learn more about these claims, or have any questions concerning this announcement or your rights or interests with respect to these matters, please contact Howard G. Smith, Esquire, of Law Offices of Howard G. Smith, 3070 Bristol Pike, Suite 112, Bensalem, Pennsylvania 19020, by telephone at (215) 638-4847, toll-free at (888) 638-4847, or by email to howardsmith@howardsmithlaw.com, or visit our website at www.howardsmithlaw.com.
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View source version on businesswire.com: https://www.businesswire.com/news/home/20231214024966/en/
Contacts
Law Offices of Howard G. Smith
Howard G. Smith, Esquire
215-638-4847
888-638-4847
howardsmith@howardsmithlaw.com
www.howardsmithlaw.com
