Pomerantz Law Firm Warns Investors About Class Action Against Open Lending Corporation

Investor Alert: Class Action Filed Against Open Lending Corporation

On June 1, 2025, Pomerantz LLP announced the initiation of a class action lawsuit against Open Lending Corporation (NASDAQ: LPRO). This move alerts investors who sustained losses in their investments in the company, urging them to evaluate their circumstances regarding potential legal action.

Open Lending, a firm that provides loan acquisition services, has faced serious allegations of securities fraud and other unlawful business practices. Investors who purchased or acquired securities of Open Lending within the specified Class Period are invited to take action by contacting attorney Danielle Peyton at Pomerantz for more information.

Those interested have until June 30, 2025, to file for Lead Plaintiff status in the class action. This report follows the company's disclosure on March 17, 2025, when it announced it could not meet the filing deadline for its Annual Report for 2024. Open Lending stated that it needed additional time to complete its accounting processes, specifically concerning its profit share revenue and related contract assets.

These disclosures had immediate consequences for investors. Following the announcement, Open Lending's stock fell dramatically by $0.82 or approximately 19.03%. The stock price continued to decline sharply after the company released its fourth-quarter and full-year results for 2024 on March 31, 2025.

The financial report revealed a significant quarterly revenue deficit of $56.9 million. This decline was attributed to an $81.3 million reduction in estimated profit share revenues linked to loans originated from 2021 through 2024. Increased delinquencies and defaults on these loans were cited as the primary factors driving the downturn.

Adding to the turmoil, Open Lending appointed a new Chief Executive Officer and Chief Operating Officer shortly afterwards. The sudden leadership changes raised further concerns among investors regarding the company's stability and future direction.

By April 1, 2025, a sharp decline in stock value was evident, as shares plummeted by $1.59, or 57.61%, closing at $1.17 per share. These developments underline the precarious situation of Open Lending and highlight the potential need for investors to seek legal recourse.

Founded by Abraham L. Pomerantz, Pomerantz LLP is recognized as a leading firm in corporate and securities class litigation. With its extensive history of fighting for the rights of victims of securities fraud and corporate misdeeds, the firm is committed to protecting the interests of affected investors. With more than 85 years in the field, Pomerantz has achieved substantial recoveries in numerous class action suits.

You can obtain further details regarding the class action lawsuit and how to participate by visiting Pomerantz's official website at www.pomerantzlaw.com. If you believe you might have a claim, it is critical to act quickly to meet the upcoming deadlines and protect your rights as an investor.

This article serves as an important alert for those associated with Open Lending Corporation, emphasizing the seriousness of the situation and the available legal avenues for affected investors.