B. Riley Faces Expanded SEC Probe Amid Major Financial Losses

The investment firm suspends dividends and projects significant quarterly losses as regulatory scrutiny intensifies.

B. Riley's stock plummeted over 50% following a profit warning and dividend suspension.
The SEC's investigation focuses on B. Riley's risk disclosures and ties to former business partner Brian Kahn.
The firm expects a quarterly loss of up to $475 million due to a writedown of its Franchise Group investment.
Short sellers have targeted B. Riley, citing concerns over its financial stability and business practices.
B. Riley's management asserts full cooperation with the SEC and confidence in their internal review findings.