Sportradar’s shares fell 22.6% in a single day last April after two research firms accused the sports-data company of working with black-market gambling operators. Now investors who held the stock are being offered a role in the lawsuit that followed.
On June 3, the law firm Kessler Topaz Meltzer & Check announced it had filed a securities fraud class action against Sportradar Group AG (NASDAQ: SRAD). The case, Smale v. Sportradar Group AG, et al., No. 1:26-cv-04112, is in the U.S. District Court for the Southern District of New York before Judge Gregory H. Woods. It covers anyone who bought Class A ordinary shares from November 7, 2024, through April 21, 2026.
The complaint says Sportradar and its executives made false or misleading statements throughout that period. It names three problems. Sportradar, the suit says, deliberately worked with black-market gambling operators to boost revenue, even as it promised strict legal and regulatory compliance. Its know-your-customer and compliance processes were weaker than claimed. And as a result, what the company said about its business and prospects had no reasonable basis.
The two reports
The suit points to April 22, 2026, when Muddy Waters Research and Callisto Research each published an investigation. Muddy Waters said Sportradar “has actively aided and abetted illegal gambling across the world’s black and grey markets, not as an accident or an oversight, but as a business strategy.” It said its findings drew on detailed conversations between its investigators and Sportradar sales executives.
Callisto looked at hundreds of gambling platforms. It reported evidence that more than 270 of the 800 platforms Sportradar claims to serve, over a third, use its products or services, or say they do, while operating illegally in regulated or prohibited markets.
The stock closed at $16.84 on April 21 and at $13.04 on April 22, a drop of $3.80 a share.
Lead plaintiff deadline
Investors have until July 17, 2026, to ask the court to appoint them lead plaintiff. A lead plaintiff directs the case on behalf of the whole class and picks the lawyers who will represent it. Courts usually choose the investor, or small group of investors, with the largest financial stake who also fit the profile of the class. Anyone who does nothing stays an absent class member, and the law firm says that choice does not affect a person’s ability to share in any recovery.
Kessler Topaz, which describes itself as a plaintiff-side firm focused on securities class actions, is inviting investors to contact attorney Jonathan Naji. It says there is no cost or obligation to speak with an attorney. Sportradar’s response to the allegations was not included in the firm’s announcement.
