Open Lending(US:LPRO) Prnewswireยท2025-06-05 19:06Core Viewpoint - A securities class action lawsuit has been filed against Open Lending Corporation for misrepresentation and failure to disclose significant financial issues during the Class Period from February 24, 2022, to March 31, 2025 [1][3]. Group 1: Lawsuit Details - The lawsuit claims that Open Lending misrepresented its risk-based pricing models and profit share revenue, and failed to disclose that its 2021 and 2022 vintage loans were worth significantly less than their outstanding balances [3]. - Investors have until June 30, 2025, to seek appointment as lead plaintiff representative of the class [2]. Group 2: Financial Performance - On March 17, 2025, Open Lending announced it would delay its Annual Report for 2024, leading to a 9% drop in share price to $3.91 [4]. - The company reported a quarterly revenue of negative $56.9 million for Q4 2024, primarily due to an $81.3 million reduction in estimated profit share revenues linked to heightened delinquencies and defaults on loans from 2021 to 2024 [5]. - Following the financial disclosure, Open Lending's share price plummeted by 57% to close at $1.17 on April 1, 2025 [6]. Group 3: Management Changes - On the same day as the financial results announcement, Open Lending appointed a new Chief Executive Officer and a new Chief Operating Officer [5].