Sunlight Financial Holdings $3.5M Securities Settlement

If you purchased the publicly-traded common stock of Sunlight Financial Holdings, Inc. between January 25, 2021, and September 28, 2022, or if you beneficially owned or held the common stock of Spartan Acquisition Corp. II as of June 1, 2021, and were eligible to vote at Spartan’s July 8, 2021, special meeting, you may be eligible to claim a portion of a $3,500,000 from a class action settlement.

Sunlight Financial Holdings, Inc. has agreed to pay $3,500,000 to settle a class action lawsuit for alleged false and misleading statements concerning its due diligence process for contractor partners.

Who can file a claim?

To be considered a class member eligible to file a claim, you must meet one of the following criteria:

• Purchased publicly-traded Sunlight common stock between January 25, 2021, and September 28, 2022.
• Beneficially owned or held Spartan common stock as of June 1, 2021, and were eligible to vote at Spartan’s July 8, 2021, special meeting.

Note that people and entities who did not suffer losses are not included in the settlement.

How much can class members get?

The settlement provides an estimated average recovery of $0.14 per share of common stock for the 24.1 million shares allegedly damaged during the Class Period.

However, the actual recovery may vary based on several factors, including:

• The aggregate losses of all Settlement Class Members.
• The total number and amount of claims filed.
• The purchase and sale dates and prices of the shares.
• Whether the shares were sold and, if so, when and for how much.

Sunlight Stock Purchasers

• For shares purchased and sold during between January 25, 2021, and September 28, 2022: $0 per share.
• For shares purchased during the Class Period and sold between September 29, 2022, and December 27, 2022: Lesser of $1.40 per share or the purchase price minus the average closing price on the sale date.
• For shares purchased during the Class Period and held as of December 27, 2022: Lesser of $1.40 per share or the purchase price minus $1.38.

Spartan Stock Holders

• For shares held as of June 1, 2021, and sold by September 28, 2022: $10.00 per share minus the sale price.
• For shares held as of September 28, 2022: $8.92 per share.

What proof required to file a claim?

Yes, claimants need to provide documentation to support their claims. This includes stockbroker’s confirmation slips, statements, or other documents evidencing each purchase and sale of Sunlight and/or Spartan common stock.

How to claim an award

To claim an award, you must complete and submit a Proof of Claim and Release Form. You can file a claim online or mail the form to:

Sunlight Financial Holdings, Inc. Securities Litigation

c/o Strategic Claims Services

600 N. Jackson Street, Suite 205

P.O. Box 230

Media, PA 19063

Ensure your claim is postmarked or submitted online by November 19, 2024.

Payment methods

Payments will be made via check or direct deposit, depending on the claimant's preference.

$3,500,000 Settlement Fund Breakdown

The settlement fund of $3,500,000 will cover:

• Attorneys’ fees up to 29% of the Settlement Fund.
• Reimbursement of litigation expenses up to $58,000.
• A total case contribution award to Plaintiffs not to exceed $6,000.
• The remaining amount will be distributed among eligible class members.

Important dates

• Fairness Hearing: December 10, 2024
• Deadline to File a Claim: November 19, 2024

When is the Sunlight Financial Holdings, Inc. payout date?

The payout date will be determined after the Fairness Hearing and once all claims have been processed.

Why is there a class action settlement?

The lawsuit alleges that Sunlight Financial Holdings, Inc. made false and misleading statements about its due diligence process for contractor partners, leading to financial losses for investors. The settlement resolves these allegations without admitting any wrongdoing.

What happens next?

After the Fairness Hearing on December 10, 2024, the Court will decide whether to approve the settlement. If approved, payments will be distributed to eligible claimants who submitted valid claims by the deadline.