B. Riley gets extension to file audited financials

investmentnews.com:

B. Riley Financial Inc., the boutique investment bank facing questions about its dealings with a former business partner, gained extra time from lenders to provide its audited 2023 financial statements. 

The company got an extension until April 29 under its existing credit agreement with Nomura Holdings Inc. and didn’t incur additional fees, according to a regulatory filing on Wednesday. B. Riley “does not believe it will require the full period,” the company said. 

B. Riley missed the initial deadline for filing an audited version of its latest annual results with the Securities and Exchange Commission, as well as the customary grace period. Terms of its loan require B. Riley to produce audited results for Nomura within 90 days after the end of the fiscal year.

The firm has come under fire for its relationship with Brian Kahn, who has been linked to the 2020 collapse of the Prophecy Asset Management hedge fund. B. Riley attributed the delay of its SEC filing to an internal review of its own dealings with Kahn.

Kahn has categorically denied any wrongdoing and said he was among those who lost money when Prophecy collapsed. Riley has said it had no knowledge of what happened at Prophecy and wasn’t involved with the hedge fund.