New York, New York--(Newsfile Corp. - November 9, 2020) - Bronstein, Gewirtz & Grossman, LLC notifies investors that a class action lawsuit has been filed against Colony Credit Real Estate, Inc.("Colony Credit" or the "Company") (NYSE: CLNC) and certain of its officers, on behalf of shareholders who purchased or otherwise acquired the common stock of Colony Credit Real Estate, Inc. f/k/a/ Colony NorthStar Credit Real Estate, Inc. ("Colony Credit" or the "Company") pursuant and/or traceable to the Company's Registration Statement and Prospectus (collectively, the "Registration Statement") issued in connection with 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"). Such investors are encouraged to join this case by visiting the firm's site: www.bgandg.com/clnc.
This class action seeks to recover damages against Defendants for alleged violations of the federal securities laws under the Securities Exchange Act of 1933.
The Complaint alleges the Registration Statement was materially false and misleading and omitted to state: (1) that the credit quality of certain of Colony Credit's assets had deteriorated prior to the Merger and were continuing to deteriorate at the time of the Merger; (2) that certain of the Company's loans, including four loans of approximately $261 million related to a New York hotel, were substantially impaired, there was insufficient collateral to secure the loans, and it was unlikely that the loans would be repaid; (3) that, as a result, the valuation attributed to certain of the Company's assets was overstated; (4) that, certain of the assets contributed as part of the Merger were of substantially lower value than reflected in the Company's financial statements and the Registration Statement; (5) that, as a result, the Company's financial condition, including its book value, was materially overstated; and (6) that, as a result of the foregoing, the positive statements in the Registration Statement about the Company's business, operations, and prospects were materially misleading and/or lacked a reasonable basis
A class action lawsuit has already been filed. If you wish to review a copy of the Complaint you can visit the firm's site: www.bgandg.com/clnc or you may contact Peretz Bronstein, Esq. or his Investor Relations Analyst, Yael Hurwitz of Bronstein, Gewirtz & Grossman, LLC at 212-697-6484. If you suffered a loss in Colony Credit you have until November 9, 2020 to request that the Court appoint you as lead plaintiff. Your ability to share in any recovery doesn't require that you serve as a lead plaintiff.
Bronstein, Gewirtz & Grossman, LLC is a corporate litigation boutique. Our primary expertise is the aggressive pursuit of litigation claims on behalf of our clients. In addition to representing institutions and other investor plaintiffs in class action security litigation, the firm's expertise includes general corporate and commercial litigation, as well as securities arbitration. Attorney advertising. Prior results do not guarantee similar outcomes.
Contact:
Bronstein, Gewirtz & Grossman, LLC
Peretz Bronstein or Yael Hurwitz
212-697-6484 | info@bgandg.com
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/67279
