February 1, 2021 - An amended complaint was filed.

September 10, 2020 - An investor in shares of Colony Credit Real Estate, Inc. (NYSE: CLNC) filed a lawsuit in the U.S. District Court for the Central District of California over alleged violations of Federal Securities Laws by Colony Credit Real Estate, Inc. Los Angeles, CA based Colony Credit Real Estate, Inc. operates as a commercial real estate (CRE) credit real estate investment trust in the United States.

On or about February 1, 2018, Colony Credit Real Estate, Inc issued a Registration Statement and Prospectus in connection with the combination of Colony NorthStar, Inc., NorthStar Real Estate Income Trust, Inc., and NorthStar Real Estate Income II, Inc. (the Merger ).

Then, on August 8, 2019, Colony Credit Real Estate, Inc issued a press release to report its second-quarter 2019 financial results, in which it reported a $119 million provision for loan losses.

Additionally, on November 8, 2019, Colony Credit Real Estate, Inc announced a portfolio bifurcation of certain assets and disclosed a $127 million provision for loan losses. Shares of Colony Credit Real Estate, Inc. (NYSE: CLNC) declined from $23.23 per share in September 2018 to as low as $2.46 per share on March 23, 2020.

According to the complaint the plaintiff alleges on behalf of purchasers of Colony Credit Real Estate, Inc. (NYSE: CLNC) common shares, that the defendants violated Federal Securities Laws.

More specifically, the plaintiff claims that the Registration Statement was materially false and misleading and omitted to state that the credit quality of certain of the Company's assets had deteriorated prior to the Merger and were continuing to deteriorate at the time of the Merger, that certain of the Company's loans, including four loans of approximately $261 million related to a New York hotel, were substantially impaired, there was insufficient collateral to secure the loans, and it was unlikely that the loans would be repaid, that, as a result, the valuation attributed to certain of the Company's assets was overstated; (iv) that certain of the assets contributed as part of the Merger were of substantially lower value than reflected in the Company's financial statements and the Registration Statement, that, as a result, the Company's financial condition, including its book value, was materially overstated, and that, as a result of the foregoing, the positive statements in the Registration Statement about the Company's business, operations, and prospects were materially misleading and/or lacked a reasonable basis.