Pomerantz Law Firm Launches Investigation into Necessity Retail REIT, Inc. over Securities Fraud Claims

Investor Alert: Pomerantz Law Firm Investigates Necessity Retail REIT, Inc.

The Pomerantz Law Firm has announced that it is investigating claims on behalf of investors of Necessity Retail REIT, Inc. (NASDAQ: RTL). This move comes in light of allegations pertaining to potential securities fraud and other unlawful business practices connected with the company's recent merger with Global Net Lease, Inc. on September 12, 2023.

During the merger, investors of Necessity Retail were exchanged shares for those of Global Net Lease, effectively making them stakeholders in what was touted as a promising union. However, recent developments have raised concerns about the accuracy of the financial projections presented by the company. The Offering Materials associated with the merger estimated Adjusted Funds From Operations (AFFO) to reach nearly $400 million in 2024 and slightly over $409 million in 2025. In the real estate investment trust (REIT) sector, AFFO serves as a critical measure for evaluating the cash generation capacity necessary to sustain shareholder distributions.

Yet, since the exchange took place, shares of Global Net Lease have plummeted by over 33%. This drastic decline has prompted Pomerantz LLP to delve deeper into whether the management at Necessity Retail, including its directors and officers, may have engaged in practices that are not in line with legal standards set for corporate conduct.

Historically, Pomerantz has built a reputation for fighting on behalf of victims of securities fraud, corporate misconduct, and fiduciary duty breaches. With offices located in major cities such as New York, Chicago, Los Angeles, Tel Aviv, London, and Paris, the firm is acknowledged as a leader in securities class action litigation. Founded by Abraham L. Pomerantz, known in legal circles as the dean of class action lawyers, the firm continues to advocate for investor rights more than 85 years after its inception, recovering significant damages for class members along the way.

The firm invites those who hold shares in Necessity Retail or any stakeholders affected by the merger with Global Net Lease to reach out for guidance and potential participation in the ongoing investigation. Danielle Peyton from Pomerantz has been designated as the contact person for inquiries, reachable at [email protected] or 646-581-9980, ext. 7980.

This investigation signifies an important juncture for investors who believe their rights may have been compromised. As developments unfold, stakeholders are encouraged to stay informed and remain alert to the ongoing legal evaluations that can influence the future trajectory of both Necessity Retail and Global Net Lease.

For those who wish to learn more about the implications of this investigation and other related legal matters involving the two firms, visiting Pomerantz's official website at www.pomlaw.com can provide additional context and resources.

As the legal process unfolds, the focus remains on ensuring that corporate players adhere to established laws and standards, ultimately safeguarding investor interests in a rapidly evolving market landscape.