NEW YORK– LAWFUEL – The Legal Newswire –Coughlin Stoia Geller Rudman & Robbins LLP (“Coughlin Stoia”) (http://www.csgrr.com/cases/cbre/) today announced that a class action has been commenced in the United States District Court for the District of Connecticut on behalf of a class consisting of all persons other than defendants who purchased the common stock of CBRE Realty Finance, Inc. (“CBRE” or the “Company”)(NYSE:CBF) pursuant and/or traceable to the Company’s initial public offering on or about September 29, 2006 through August 6, 2007, seeking to pursue remedies under the Securities Act of 1933 (the “Securities Act”). This action concerns the initial public offering of CBRE common stock which took place on or about September 29, 2006 (the “IPO” or the “Offering”).
If you wish to serve as lead plaintiff, you must move the Court no later than 60 days from today. If you wish to discuss this action or have any questions concerning this notice or your rights or interests, please contact plaintiff’s counsel, Samuel H. Rudman or David A. Rosenfeld of Coughlin Stoia at 800/449-4900 or 619/231-1058, or via e-mail at [email protected] If you are a member of this class, you can view a copy of the complaint as filed or join this class action online at http://www.csgrr.com/cases/cbre/. Any member of the purported class may move the Court to serve as lead plaintiff through counsel of their choice, or may choose to do nothing and remain an absent class member.
The complaint charges CBRE and certain of its officers and directors with violations of the Securities Act. CBRE is a commercial real estate specialty finance company. The Company primarily focuses on originating, acquiring, investing, financing, and managing a diversified portfolio of commercial real estate related loans and securities in North America.
On or about September 26, 2006, CBRE filed with the SEC a Form S-11/A Registration Statement (the “Registration Statement”), for the IPO. On or about September 29, 2006, the Prospectus (the “Prospectus”) with respect to the IPO, which forms part of the Registration Statement, became effective. The complaint alleges that the Registration Statement and Prospectus failed to disclose that at the time of the IPO more than $20 million in loans on the company’s books were impaired and should have been written down but were not.
On August 6, 2007, CBRE issued a press release announcing its financial results for the second quarter of 2007, the period ending June 30, 2007. The Company reported that it was taking a $7.8 million impairment charge due to a write-down on a foreclosed asset. Following this announcement, the price of CBRE stock declined to $4.25 per share, 70% lower than the IPO price of $14.50, on extremely heavy trading volume.
Plaintiff seeks to recover damages on behalf of a Class consisting of all persons other than Defendants who purchased the common stock of CBRE pursuant and/or traceable to the Company’s initial public offering on or about September 29, 2006 through August 6, 2007, seeking to pursue remedies under the Securities Act. The plaintiff is represented by Coughlin Stoia, which has expertise in prosecuting investor class actions and extensive experience in actions involving financial fraud.
Coughlin Stoia, a 190-lawyer firm with offices in San Diego, San Francisco, Los Angeles, New York, Boca Raton, Washington, D.C., Houston and Philadelphia, is active in major litigations pending in federal and state courts throughout the United States and has taken a leading role in many important actions on behalf of defrauded investors, consumers, and companies, as well as victims of human rights violations. Coughlin Stoia lawyers have been responsible for more than $45 billion in aggregate recoveries. The Coughlin Stoia Web site (http://www.csgrr.com) has more information about the firm.