SE.US
id: 782
Sea Limited (SE) $46M Investor Settlement
Eligible claimants can submit their claims for compensation.
$46,000,000
Cash SettlementD. Arizona
Court2:23-cv-01455
Case number11/15/2022
Class period Start08/14/2023
Class period End06/23/2025
Claim deadlineSea Limited ($SE) has reached a $46M settlement with investors over claims that it misled them about the financial health and growth prospects of its Garena and Shopee segments.
Outline
Between November 2022 and May 2023, Sea Limited was accused of overstating growth in its Garena and Shopee segments while hiding signs of slowing user engagement and financial struggles. In May 2023, the company reported disappointing results, causing $SE to drop 17%, and by July, Sea Limited faced a lawsuit from investors.
Timeline
- November 15, 2022 – Sea Limited stated that Garena and Shopee were experiencing strong growth and improving profitability, despite internal challenges with user engagement and revenue declines.
- May 16, 2023 – The company disclosed lower-than-expected financial results, causing $SE stock to drop 17%.
- August 15, 2023 – Sea Limited revealed continued struggles in its business segments, leading to another 29% stock drop.
- July 21, 2023 – Investors filed a lawsuit, claiming that Sea Limited provided misleading financial projections and business updates.
- March 14, 2025 – Sea Limited agreed to a $46 million settlement.
Background
In November 2022, Sea Limited assured investors that Garena’s gaming business was stabilizing and that Shopee’s e-commerce division was on track for strong revenue growth.
However, by May 2023, the company revealed that Garena’s user engagement had declined more than expected and that Shopee’s expansion efforts were facing profitability challenges.
As a result, Sea Limited’s stock dropped 17%, followed by another 29% decline in August 2023, when the company announced layoffs and spending reductions.
When this news came out, investors sued the company claiming that Sea Limited had misrepresented its business fundamentals and financial outlook, leading to stock price inflation and investor losses.
What Can Investors Expect Now?
Sea Limited ($SE) has agreed to settle $46M with investors to resolve claims that it misled them about the financial health and growth prospects of its Garena and Shopee segments.
If you were affected by this situation, you can file for a payout and receive your share of the settlement. You can check if you are eligible and find more details in the FAQ section below.
Case Status
Accepting Claims
Alleged Offence
Misleading Statements,
Financial Misrepresentation,
Failure to Disclose,
Omissions
Suspected Party
Directors,
Management
Security Type
Depository Securities (ADS, ADR, GDR)
Trade Direction
Long
Payout per Share
1.03
Filing date
07/21/2023
Lead Plaintiff Deadline
09/20/2023
Plaintiffs
Laborers District Council Construction Industry Pension Fund
Attorneys
Robbins Geller Rudman & Dowd LLP; Zimmerman Reed LLP
Defendants
Forrest Li; Yanjun Wang
Administrator
JND Legal Administration
Settlement agreement date
2025-03-14
Court hearing date
07/01/2025
Exclusion deadline
06/10/2025
Objection deadline
06/10/2025
Attorney fee
$11,700,000
Trades matching type
FIFO
Frequently Asked Questions
Who is eligible for this settlement
Do I have to sell securities to be eligible
How long does the payout process take?
How much will my payment be?
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