Robbins Geller Rudman & Dowd LLP has filed a class-action lawsuit against Triangle Capital Corp., Chairman, President and CEO E. Ashton Poole, CFO Steven Lilly and director Garland Tucker III on behalf of shareholders over allegations that the company made false and misleading statements, and failed to disclose adverse information regarding its business and prospects.
The complaint alleges that the defendants failed to disclose that, as early as 2013, Triangle's investment professionals had internally recommended moving away from mezzanine loan deals due to changes in the market that no longer made these investments attractive risk-reward opportunities. As a result, the company's entire vintage of 2014 and 2015 investments were at substantial risk of non-accrual because of the quality of the investments and deficient underwriting practices in place at the time of the investments.
The plaintiffs seek to recover damages and have demanded a jury trial.
Triangle Capital did not immediately respond to a request for comments from S&P Global Market Intelligence.
