New York, New York--(Newsfile Corp. - November 10, 2026) - The law firm of Kirby McInerney LLP reminds Coastal Financial Corporation ("Coastal Financial" or the "Company") (NASDAQ: CCB) investors who acquired Coastal Financial securities between October 28, 2024 and July 29, 2026, inclusive ("the Class Period") of the December 1, 2026 deadline to seek lead plaintiff appointment in the pending class action lawsuit.

Investors are encouraged to contact Lauren Molinaro of Kirby McInerney LLP by email at investigations@kmllp.com, or fill out the contact form below to discuss your rights or interests in the securities fraud class action lawsuit at no cost.

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What Is the Lawsuit About?

The lawsuit alleges that Coastal failed to disclose that: (i) the credit quality of a substantial CCBX partner loan portfolio, comprising approximately $500 million in loans and nearly 23% of all CCBX loans, had materially deteriorated; (ii) as a result of that deterioration, Coastal faced significant exposure to credit losses notwithstanding Defendants' repeated representations concerning the credit protections provided by its CCBX partner agreements; and (iii) Coastal's risk management and credit monitoring practices were inadequate to identify, adequately account for, and mitigate the deterioration of the CCBX partner loan portfolio and the resulting risks to Coastal.

On July 30, 2026, Coastal announced its second quarter 2026 financial results, reporting a GAAP net loss of $42.1 million, driven primarily by a $68.8 million credit expense related to a single CCBX partner relationship. Coastal also held its first-ever earnings call, asserting that the quarter included "significant and unusual items that warrant a direct explanation." During the earnings call, the Company disclosed that the credit expense consisted of a $46 million valuation adjustment to the related credit enhancement asset and a $22.8 million provision for credit losses associated with the partner's indemnification obligations. On this news, the price of Coastal shares declined by $30.75 per share, or approximately 43.5%, from $70.66 per share on July 29, 2026 to close at $39.91 on July 30, 2026.

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What Should I Do?

Courts do not consider applications filed after the lead plaintiff deadline. The lead plaintiff oversees the litigation on behalf of the class and may influence key decisions, including litigation strategy and settlement. Courts regularly appoint individual investors as lead plaintiffs, not only institutions. Learn more about the lead plaintiff process and eligibility requirements here.

If you purchased or otherwise acquired Coastal Financial securities, have information, or would like to learn more about this investigation, please contact Lauren Molinaro of Kirby McInerney LLP by email at investigations@kmllp.com, or fill out the contact form above, to discuss your rights or interests with respect to these matters at no cost.

[WHAT SHOULD I KNOW ABOUT SECURITIES CLASS ACTIONS?]

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 on Kirby McInerney LLP's website.

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Source: Kirby McInerney LLP