SEC Zeroes in on LifeWallet’s Funding, SPAC Deal Disclosures

The SEC sent another subpoena to insurance reimbursement company LifeWallet, the company reported.

The SEC's investigation, disclosed in the company's latest quarterly financial statement, focuses on funding sources of the company prior to going public via SPAC, “as well as various statements and disclosures by the Company in connection with and following the Business Combination,” the company, formerly known as MSP Recovery, said. The company received the SEC subpoena on Aug. 16.

“The Company intends to fully cooperate with such subpoena,” it said in its 10-Q.

MSP Recovery was valued at $32.6 billion in its May 2022 merger with Lionheart Acquisition II, the largest such combination ever in the US as measured by enterprise value. The day it began trading on the , shares plunged more than 60% to $3.85 shortly after 10 a.m. in New York, less than an hour after its debut. 

The stock last traded today at $1.90 and has lost nearly 79% of its value over the last five years. Read more.

Source: SEC Zeroes in on LifeWallet's Funding, SPAC Deal Disclosures