COLONY CREDIT REAL ESTATE, INC. CLASS ACTION ALERT: Wolf Haldenstein Adler Freeman & Herz LLP Announces That a Securities Class Action Lawsuit Has Been Filed on Behalf of Shareholders of Colony Credit Real Estate, Inc. in The United States District Court For the Central District of California
Lead Plaintiff Deadline is November 9, 2020
NEW YORK, Sept. 17, 2020 (GLOBE NEWSWIRE) -- Wolf Haldenstein Adler Freeman & Herz LLP (“Wolf Haldenstein”) announces that a federal securities class action lawsuit has been filed in the United States District Court for the Central District of California on behalf of Colony Credit Real Estate, Inc. ("Colony" or "the Company") (NYSE: CLNC) investors that acquired securities in relation to the combination of Colony NorthStar, Inc., and NorthStar Real Estate Income Trust, Inc. and NorthStar Real Estate Income II, Inc., on or about February 1, 2018 (the “Merger”).
All investors who purchased shares of Colony Credit Real Estate, Inc. and incurred losses are urged to contact the firm immediately at classmember@whafh.com or (800) 575-0735 or (212) 545-4774. You may obtain additional information concerning the action or join the case on our website, www.whafh.com.
If you have incurred losses in the shares of Colony Credit Real Estate, Inc., you may, no later than November 9, 2020, request that the Court appoint you lead plaintiff of the proposed class.
The filed Complaint alleges that the registration statement was materially false and misleading and failed to state:
that certain of Colony Credit's assets’ credit quality had deteriorated prior to the Merger and were continuing to deteriorate at the time of the Merger;
that certain of the Company's loans, including four loans related to a New York hotel worth approximately $261 million, were substantially impaired, sufficient collateral to secure the loans was not available, and it was not likely that these loans would be repaid;
that, as a result, the valuation attributed to certain of the Colony Credit’s assets was overstated;
that, certain of the assets contributed as part of the Merger were of substantially lower value than reflected in the financial statements made public by the Company and the registration statement;
that, as a result, the financial condition of the Company's, such as its book value, was materially overstated; and
that, as a result of the foregoing, the positive statements in the registration statement about the Colony Credit’s business, operations, and prospects were materially misleading and/or lacked a reasonable basis.
Wolf Haldenstein has extensive experience in the prosecution of securities class actions and derivative litigation in state and federal trial and appellate courts across the country. The firm has attorneys in various practice areas; and offices in New York, Chicago and San Diego. The reputation and expertise of this firm in shareholder and other class litigation has been repeatedly recognized by the courts, which have appointed it to major positions in complex securities multi-district and consolidated litigation.
If you wish to discuss this action or have any questions regarding your rights and interests in this case, please immediately contact Wolf Haldenstein by telephone at (800) 575-0735, via e-mail at classmember@whafh.com, or visit our website at www.whafh.com.
Contact:
Wolf Haldenstein Adler Freeman & Herz LLP
Kevin Cooper, Esq.
Gregory Stone, Director of Case and Financial Analysis
Email: gstone@whafh.com, kcooper@whafh.com or classmember@whafh.com
Tel: (800) 575-0735 or (212) 545-4774
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