PDF

Paysafe Limited Class Action Lawsuit - PSFE; BFT

Company Name
Paysafe Limited
Stock Symbol
PSFE; BFT
Class Period
December 7, 2020 to November 10, 2021
Motion Deadline
February 8, 2022
Court
Southern District of New York
18 days left to seek lead plaintiff status

Case Summary

The Paysafe class action lawsuit seeks to represent purchasers of Paysafe Limited f/k/a Foley Trasimene Acquisition Corp. II (NYSE: PSFE; BFT) securities between December 7, 2020 and November 10, 2021, inclusive (the “Class Period”) and charges Paysafe and certain of Foley Trasimene Acquisition Corp. II’s (“FTAC”) top executives with violations of the Securities Exchange Act of 1934.  The Paysafe class action lawsuit was commenced on December 10, 2021 in the Southern District of New York and is captioned Wiley v. Paysafe Limited f/k/a Foley Trasimene Acquisition Corp. II, No. 21-cv-10611.

If you wish to serve as lead plaintiff of the Paysafe class action lawsuit, please provide your information by clicking here.  You can also contact attorney J.C. Sanchez of Robbins Geller by calling 800/449-4900 or via e-mail at jsanchez@rgrdlaw.com.  Lead plaintiff motions for the Paysafe class action lawsuit must be filed with the court no later than February 8, 2022.

CASE ALLEGATIONS: FTAC was a special purpose acquisition company (“SPAC” or “blank-check company”) formed for the purpose of effecting a merger, capital stock exchange, asset acquisition, stock purchase, reorganization, or similar business combination with one or more businesses.  Paysafe provides digital commerce solutions and claims that its solutions extend beyond the card-based payments functionality of traditional payment vendors by providing the advanced capabilities of digital wallets, alternative payment methods, and digital currency transactions.  On December 7, 2020, FTAC announced that it and Paysafe Group Holdings Limited entered into a definitive agreement and plan of merger, and that upon closing of the transaction the newly combined company will operate as Paysafe with its shares listed on the New York Stock Exchange under the symbol PSFE.  Prior to the merger, FTAC’s common shares traded on the NYSE under the symbol BFT.

The Paysafe class action lawsuit alleges that, throughout the Class Period, defendants made false and misleading statements and failed to disclose that: (i) Paysafe was being negatively impacted by gambling regulations in key European markets; (ii) Paysafe was encountering performance challenges in its Digital Wallet segment; (iii) new eCommerce customer agreements were being pushed back; and (iv) as a result, defendants’ positive statements about Paysafe’s business, operations, and prospects were materially misleading and/or lacked a reasonable basis.

On November 11, 2021, Paysafe announced that it was revising its revenue guidance for the full year 2021 downward from a range of $1,530 – $1,550 to a range of $1,470 – $1,480.  Paysafe attributed the revision to “[g]ambling regulations and softness in key European markets and performance challenges impacting the Digital Wallet segment” and “[t]he modified scope and timing of new eCommerce customer agreements relative to the Company’s original expectations for these agreements.”  On this news, Paysafe’s share price fell by more than 40%, damaging investors.

Robbins Geller Rudman & Dowd LLP has launched a dedicated SPAC Task Force to protect investors in blank check companies and seek redress for corporate malfeasance.  Comprised of experienced litigators, investigators, and forensic accountants, the SPAC Task Force is dedicated to rooting out and prosecuting fraud on behalf of injured SPAC investors.  The rise in blank check financing poses unique risks to investors.  Robbins Geller’s SPAC Task Force represents the vanguard of ensuring integrity, honesty, and justice in this rapidly developing investment arena.

THE LEAD PLAINTIFF PROCESS: The Private Securities Litigation Reform Act of 1995 permits any investor who purchased Paysafe securities during the Class Period to seek appointment as lead plaintiff in the Paysafe class action lawsuit.  A lead plaintiff is generally the movant with the greatest financial interest in the relief sought by the putative class who is also typical and adequate of the putative class.  A lead plaintiff acts on behalf of all other class members in directing the Paysafe class action lawsuit.  The lead plaintiff can select a law firm of its choice to litigate the Paysafe class action lawsuit.  An investor’s ability to share in any potential future recovery of the Paysafe class action lawsuit is not dependent upon serving as lead plaintiff.

ABOUT ROBBINS GELLER RUDMAN & DOWD LLP: With 200 lawyers in 9 offices nationwide, Robbins Geller Rudman & Dowd LLP is the largest U.S. law firm representing investors in securities class actions.  Robbins Geller attorneys have obtained many of the largest shareholder recoveries in history, including the largest securities class action recovery ever – $7.2 billion – in In re Enron Corp. Sec. Litig.  The 2020 ISS Securities Class Action Services Top 50 Report ranked Robbins Geller first for recovering $1.6 billion for investors that year, more than double the amount recovered by any other securities plaintiffs’ firm.

Main Menu