Investors of B. Riley Financial Stock Encouraged To Contact Kehoe Law Firm, P.C.
Kehoe Law Firm, P.C. is investigating whether certain directors and officers of B. Riley Financial, Inc. (“B. Riley Financial” or the “Company”) (NASDAQ: RILY) failed to manage B. Riley Financial in an acceptable manner, in breach of their fiduciary duties to B. Riley Financial, and whether the Company and its shareholders suffered damages as a result.
INVESTORS OF B. RILEY FINANCIAL STOCK ARE ENCOURAGED TO CLICK HERE OR EMAIL [email protected] TO CONTACT KEHOE LAW FIRM, P.C. TO DISCUSS THE INVESTIGATION AND POTENTIAL LEGAL CLAIMS.
In May 2023, B. Riley Financial entered into an agreement to assist Brian Kahn (“Kahn”) in leading a management buyout of Franchise Group, Inc. (“FRG”), a deal which was completed in August 2023.
In November 2023, Seeking Alpha reported that “. . . Kahn, the head of [FRG], was named by Bloomberg as a possible co-conspirator in a $294 million fraud case in connection with a co-founder of Prophecy Asset Management. B. Riley [Financial] invested nearly half a billion dollars this year in [FRG].”
B. Riley Financial has acknowledged that it had invested $281.1 million in the management buyout and had made a separate $201 million loan to Kahn’s investment firm secured by Kahn’s ownership interest in FRG common stock.
According to The Wall Street Journal, the stated value of the loan and the equity stake, combined, exceeds B. Riley Financial’s shareholder equity.
B. RILEY FINANCIAL INVESTORS ARE ALSO ENCOURAGED TO CONTACT MICHAEL YARNOFF, ESQ., (215) 792-6676, EXT. 804, [email protected], [email protected], TO LEARN MORE ABOUT THE BREACH OF FIDUCIARY DUTIES INVESTIGATION AND POTENTIAL LEGAL CLAIMS.
