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Fifth Street Finance Corp.

Company NameFifth Street Finance Corp.
Stock SymbolFSC

The Firm is investigating potential claims on behalf of investors of Fifth Street Finance Corp. (“Fifth Street” or the “Company”) (NASDAQ: FSC). The investigation concerns whether Fifth Street and certain of its officers and/or directors have violated Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 by issuing false and/or misleading statements to investors regarding the Company’s financial performance.

On February 9, 2015, Fifth Street revealed that it had moved $106 million worth of investments to non-accrual status with an additional $17 million likely to be designated non-accrual in the subsequent quarter, which together constituted about 5% of the Company's entire debt investment portfolio on a cost basis. This occurred around the time the Company’s executives were taking Fifth Street Asset Management ("FSAM") public. Additionally, Fifth Street revealed the net investment income received by the Company had actually decreased by 6% compared to the prior quarter even though the total assets of the Company's investment portfolio had continued to increase to nearly $3 billion by quarter end. In contradiction to its announcement of a 10% dividend increase four months before going public with FSAM, Fifth Street announced that it would not issue dividends for February 2015, and future dividend payments would decrease by more than 30%.
 
On this news, the price of Fifth Street common stock dropped $1.27 per share on February 9, 2015 to close at $7.22 per share, a decline of nearly 15% on volume of 10.9 million shares.

If you purchased shares of Fifth Street, have information or would like to learn more about these claims, or have any questions concerning this announcement or your rights or interests with respect to these matters, please contact Lesley Portnoy, Esquire, of GPM, 1925 Century Park East, Suite 2100, Los Angeles, California 90067 at 310-201-9150, Toll-Free at 888-773-9224 or by email to shareholders@glancylaw.com.

Submit Your Information

If you suffered a loss on your Fifth Street Finance Corp. investments or would like to inquire about joining an action to recover your loss under the federal securities laws, please complete the form below.

An attorney will contact you at no cost to provide you information about joining the action and answer your questions. Please note that submission of this form does not by itself form an attorney-client relationship nor does filing out this form mean you have joined any lawsuit.

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