#United States #New York #Class Action #StoneCo Ltd #Labaton Keller

Proposed Class Action Settlement in StoneCo Ltd. Securities Litigation

Labaton Keller Sucharow LLP has recently made a significant announcement regarding a proposed class action settlement in the StoneCo Ltd. securities litigation. This notice primarily targets individuals and entities who purchased or acquired the publicly traded common stock of StoneCo Ltd. during the defined class period, which spans from May 27, 2020, to November 16, 2021. If you were impacted during this time, you may be eligible for a monetary settlement.

Background of the Case

The legal proceedings are currently set before the United States District Court for the Southern District of New York, under the civil action number 121-cv-9620 (GHW)(OTW). This case revolves around allegations that investors suffered losses due to various misrepresentations made by StoneCo Ltd. concerning its business practices and financial performance. Notably, while the proposed settlement amount is $26.75 million, StoneCo denies any wrongdoing or liability.

Details of the Proposed Settlement

The proposed settlement is meant to compensate those who experienced damages during the class period. Lead Plaintiff, Indiana Public Retirement System, represents the collective interests of the proposed settlement class. It is crucial to highlight that the settlement still requires court approval for it to be finalized. A hearing is scheduled for February 27, 2026, at 3:30 PM (ET) where the judge will decide on the fairness and adequacy of the proposed settlement.

The hearing will take place at the Daniel Patrick Moynihan United States Courthouse in New York. Interested parties can attend the session, either in person or remotely, at the discretion of the court. During this session, the court will evaluate whether to:
1. Approve the proposed settlement as being fair and reasonable.
2. Dismiss the action with prejudice as stipulated in the Settlement Agreement.
3. Certify the proposed settlement class, appoint Lead Plaintiff, and recognize Labaton Keller Sucharow LLP as the class counsel.
4. Approve the allocation of the settlement fund among class members.
5. Approve the fee and expense application for Lead Counsel.

It is important to note that you do not need to attend the hearing to receive a distribution from the settlement fund.

Rights and Options for Class Members

If you are identified as a member of the settlement class, your legal rights will be impacted by the proposed settlement. You may be entitled to a monetary payment. In case you haven't yet received a postcard notice, additional details regarding the settlement can be found online at StoneCo Securities Settlement. The Claims Administrator is also available via email and phone for inquiries regarding the claim process.

Claim Submission Deadlines

To qualify for a share of the settlement fund, a valid Claim Form must be submitted either postmarked or electronically submitted by February 17, 2026. Failure to submit this form in a timely manner will result in ineligibility for the distribution, although the claimant will still be bound by court judgments regarding the settlement.

Exclusion from the Settlement

If any class member wishes to opt-out of the settlement, they can submit a written request for exclusion by February 6, 2026. Properly excluding oneself means that the individual will not be bound by any judgments and will not receive any benefits from the settlement.

Filing Objections

Class members can file objections to the proposed settlement or related matters by mailing their objection to the court and counsel for the parties as instructed in the notice by the same deadline of February 6, 2026.

This settlement proposal aims to create a structured resolution for affected investors, ensuring they are compensated for their potential losses, albeit while recognizing StoneCo's denial of any actionable claims. The legal proceedings and ensuing settlement discussions demonstrate the complexities surrounding securities litigations and their implications for investors in publicly traded companies.

For continuous updates, affected parties are encouraged to keep an eye on announcements and disclosures made through proper channels, ensuring they remain informed and proactive in claiming their rights in this settlement process.