B. Riley slumps to 10-year low as take-private offer fails to stem sell-off
Corrects headline and first paragraph to remove reference to B.Riley shares falling to a decade low
Aug 19 (Reuters) -B. Riley Financial RILY.O shares slumped by nearly 17% on Monday following a turbulent week that was capped by co-founder and co-CEO Bryant Riley offering to buy the bank.
The Los Angeles, California-based lender's stock fell as low as $4.82, dropping to its lowest level since last Thursday. It was last down 6.4% at $5.47.
Riley made an unsolicited offer on Friday to take the bank private for $7 apiece, valuing it at $212 million. The stock ended up 16%.
But B.Riley's shares still finished the week down by a record 65.5% and hit a decade low after the bank warned of a second-quarter loss, adding to concerns over its investment in Vitamin Shoppe-owner Franchise Group, which has been under scrutiny.
B. Riley and its CEO received subpoenas from the U.S. Securities and Exchange Commission in July. The subpoenas were primarily related to the bank's dealings with Franchise's former CEO, Brian Kahn.
In November, Bloomberg News reported that Kahn was a co-conspirator in a securities fraud involving Prophecy Asset Management.
Kahn has denied the allegations made in the report, saying he never knew that Prophecy Asset was allegedly defrauding investors. Earlier this year, an external investigation as well as an internal review cleared B. Riley of any wrongdoing.
Reporting by Medha Singh in Bengaluru and Chibuike Oguh in New York; editing by Alan Barona and David Evans
免責聲明: XM Group提供線上交易平台的登入和執行服務，允許個人查看和/或使用網站所提供的內容，但不進行任何更改或擴展其服務和訪問權限，並受以下條款與條例約束：（i）條款與條例；（ii）風險提示；（iii）完全免責聲明。網站內部所提供的所有資訊，僅限於一般資訊用途。請注意，我們所有的線上交易平台內容並不構成，也不被視為進入金融市場交易的邀約或邀請 。金融市場交易會對您的投資帶來重大風險。
所有缐上交易平台所發佈的資料，僅適用於教育/資訊類用途，不包含也不應被視爲適用於金融、投資稅或交易相關諮詢和建議，或是交易價格紀錄，或是任何金融商品或非應邀途徑的金融相關優惠的交易邀約或邀請。
本網站的所有XM和第三方所提供的内容，包括意見、新聞、研究、分析、價格其他資訊和第三方網站鏈接，皆爲‘按原狀’，並作爲一般市場評論所提供，而非投資建議。請理解和接受，所有被歸類為投資研究範圍的相關内容，並非爲了促進投資研究獨立性，而根據法律要求所編寫，而是被視爲符合營銷傳播相關法律與法規所編寫的内容。請確保您已詳讀並完全理解我們的非獨立投資研究提示和風險提示資訊，相關詳情請點擊 這裡查看。
