Legal firm reminds Paysafe Limited investors of securities class action.

Faruqi & Faruqi, LLP, a renowned national securities law firm, is looking into potential claims against Paysafe Limited (“Paysafe” or the “Company”) and is reminding investors of the approaching April 7, 2026 deadline to seek the role of lead plaintiff in a federal securities class action filed against the Company. The firm, with offices in New York, Pennsylvania, California, and Georgia, has recovered substantial amounts for investors since its inception in 1995.

According to the complaint, it is alleged that the Company and its executives breached federal securities laws by issuing false and/or misleading statements and/or failing to disclose critical information. These alleged actions include significant exposure of Paysafe’s e-commerce business to a single high-risk client, understating credit loss reserves and write-offs, and undisclosed problems with higher-risk Merchant Category Codes, complicating the banking of client services. These issues were expected to have a substantial adverse impact on revenue growth and overall revenue mix, making it unlikely for Paysafe to meet its previously issued financial guidance for fiscal year 2025. This led to misleading and unreasonable positive statements regarding the Company’s business, operations, and prospects.

On November 13, 2025, Paysafe announced its third-quarter financial results, which fell short of consensus estimates with revenue of $433.8 million and a net loss of $87.7 million, significantly higher than the previous year. The Company also reduced its full-year 2025 expected revenue and adjusted EPS projections. Additionally, Paysafe detailed a credit loss expense primarily due to a specific provision for expected chargebacks related to an individual merchant, as well as write-offs driven by irrecoverable amounts receivable in the Merchant Solutions segment.

During an earnings call on the same day, CEO Bruce Lowthers disclosed that a last-minute client closure caused a substantial write-down in Q3 and highlighted the Company’s association with higher-risk Merchant Category Codes, which posed challenges in banking due to risk aversion by banks. As a result of these disclosures, Paysafe’s stock price plummeted by 27.6%.

The court-appointed lead plaintiff, having the largest financial interest in the relief sought by the class, will direct and oversee the litigation on behalf of fellow class members. Any class member can opt to serve as lead plaintiff through their chosen counsel or remain an absent class member without affecting their participation in any recovery. Faruqi & Faruqi, LLP encourages anyone with pertinent information about Paysafe’s conduct, including whistleblowers, former employees, and shareholders, to come forward with their insights.