NEW YORK–(BUSINESS WIRE)–The law firm of Kirby McInerney LLP announces that a class action lawsuit has been filed on behalf of investors who acquired PicS N.V. (“PicS” or the “Company”) (NASDAQ:PICS) securities during the period from January 27, 2026 through June 5, 2026.
If you suffered a loss on your PicS investments, you have until August 4, 2026 to request lead plaintiff appointment. Courts do not consider lead plaintiff applications submitted after this deadline. If you choose to take no action, you may remain an absent class member. For more information about the lawsuit:
[CONTACT THE FIRM IF YOU SUFFERED A LOSS]
What Is This Lawsuit About? The lawsuit alleges that (i) PicS had conducted an evaluation of its credit evaluation procedures in December 2025 and determined that such procedures were deficient and in need of enhancement; (ii) as a result of the new procedures PicS had implemented in December 2025, PicS had reclassified approximately R$590 million of exposures previously classified as Stage 2 to Stage 3, leading to an incremental ECL charge of R$88 million in the three months ended December 31, 2025; (iii) PicS had experienced a heightened, but unreported, Stage 3 formation rate of more than 7% in the fourth quarter of 2025 that deviated substantially from the historical results and trends provided in the offering documents; (iv) the offering documents for the Company’s January 29, 2026 IPO had materially overstated the quality and ability of PicS’ credit models and user data to inform PicS’ underwriting practices and to allow PicS to timely and effectively monitor, assess, and identify adverse credit events, credit risks, and credit deterioration across its portfolio; and (v) PicS suffered from degradations in customer credit quality and heightened risks of default and loan impairment as a result of its entrance into materially riskier business lines leading up to the IPO, resulting in undisclosed adverse financial and operational trends such as heightened incidents of default, which predated the IPO and were internally projected by PicS to continue to worsen following the IPO, materially impairing PicS business, operations, and financial results.
On January 29, 2026 sold approximately 22.9 million shares at $19 per share in an IPO.
On February 5, 2026, five days after the IPO, Seeking Alpha published a report by a financial analyst focused on Brazilian fintech companies titled, “PicPay: Stay Away from the Stock at this Price,” which asserted the Company was significantly overvalued, with an unfavorable margin profile as compared to PicS’ peers. The article noted that demand for PicS stock in the IPO exceeded supply by more than 12 times and added that J&F had a troubled history “marked by conflicts of interest and corruption with the Brazilian Government . . . .” On this news, the price of PicS shares declined by $1.95 per share, or approximately 11.5%, from $16.97 per share on February 4, 2026 to close at $15.02 on February 5, 2026.
On March 19, 2026, PicS filed a Form 6-K Report of Foreign Private Issuer with the U.S. Securities and Exchange Commission reporting its financial results and related disclosures regarding its credit portfolio for the fourth quarter and full year 2025 – a period that ended nearly a month prior to the IPO. Among other things, the Company disclosed that it reclassified a portion of its credit portfolio from Stage 2 to Stage 3 and recorded an increase of approximately 88 million Brazilian Real in expected credit loss.
During the Company’s March 18, 2026 related earnings call, Chief Financial Officer Rodrigo Luis Couto stated: “Our portfolio is still relatively young, which means that as the time passes, the amount of information we incorporate is quite substantial relative to what we had before. And as we had more information, we were able to detect a part of our portfolio that was in Stage 2 that had characteristics that would be more appropriate to be classified in Stage 3. So we did the reclassification. The level of provisioning of those credits was already high, around 60%. It went up to 75%, and that had an impact of BRL 88 million in our provision expense. So it’s basically the result of us learning more about the performance of our portfolio and making the necessary adjustments to our ECL models to make sure that we have the correct measurement at every point in time.” On this news, the price of PicS shares declined by $3.56 per share, or approximately 22.5%, from $15.83 per share on March 18, 2026 to close at $12.27 on March 19, 2026.
On June 2, 2026, PicS announced its first quarter of 2026 financial results. PicS stated that its Stage 3 loans had increased sequentially to 13% of its total credit portfolio. In addition, the Company’s NPLs with balances 15 to 90 days overdue reached 8.4% of the portfolio (up from 6.2% during the prior year comparable period), while NPLs more than 90 days past due reached 8.9% of the portfolio (up from 4% during the prior year comparable period). On this news, the price of PicS shares declined by $2.14 per share, or approximately 19%, from $11.17 per share on June 2, 2026 to close at $9.03 on June 3, 2026.
As of June 5, 2026, PicS Class A common stock fell to a low of less than $9 per share, representing a more than 50% decline from the $19 per share IPO price.
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The Lead Plaintiff Appointment Process. The federal securities laws permit any investor who acquired eligible securities during the class period to seek appointment as lead plaintiff in a class action lawsuit. Courts typically appoint the investor(s) with the largest financial loss in the case and the ability to represent the class rather than investors with simply the largest investment portfolio. Courts regularly appoint individual investors, whether acting alone or as a group, as lead plaintiffs. The rights of any investor who bought shares during the class period are generally already protected. However, lead plaintiffs have the power to influence case strategy and have a say in settlement decisions, as well as decisions concerning allocation of settlement funds among class members.
[LEARN MORE ABOUT THE LEAD PLAINTIFF PROCESS]
What Should I Do? If you purchased or otherwise acquired PicS securities, have information, or would like to learn more about this investigation, please contact Lauren Molinaro of Kirby McInerney LLP by email at [email protected], or fill out the contact form below, to discuss your rights or interests with respect to these matters at no cost.
Kirby McInerney LLP is a New York-based plaintiffs’ law firm concentrating in securities, antitrust, whistleblower, and consumer litigation. The firm’s efforts on behalf of shareholders in securities litigation have resulted in recoveries totaling billions of dollars. Additional information about the firm can be found at Kirby McInerney LLP’s website.
This press release may be considered Attorney Advertising in some jurisdictions under the applicable law and ethical rules.
Contacts
Kirby McInerney LLP
Lauren Molinaro, Esq.
212-699-1171
https://www.kmllp.com
https://securitiesleadplaintiff.com/
[email protected]
