CCB Shareholder Alert: December 1, 2026 Lead Plaintiff Deadline in Coastal Financial Corporation Securities Class Action - Contact Levi & Korsinsky

The complaint charges that Coastal's CEO and two successive CFOs controlled the Company's CCBX credit-quality assurances, and that two of those officers sold roughly $15.8 million in stock before a 43.5% single-day decline.

NEW YORK, Oct. 7, 2026 /PRNewswire/ -- Levi & Korsinsky, LLP notifies investors in Coastal Financial Corporation (NASDAQ: CCB) that the Company's chief executive and two chief financial officers are named as individual defendants in a securities class action brought on behalf of shareholders who purchased between October 28, 2024 and July 29, 2026. Find out if you may be eligible to recover losses or contact Joseph E. Levi, Esq. at [email protected] or (212) 363-7500.

CCB shares lost 43.5% in a single session on July 30, 2026. The complaint charges that during the Class Period, CEO Eric M. Sprink sold approximately $12 million of Coastal stock and longtime CFO Joel Edwards sold approximately $3.8 million. Both men, along with CFO Brandon Soto, face Section 20(a) control person claims seeking to hold them personally liable alongside the Company, and the window to apply for lead plaintiff closes on December 1, 2026.

The Message the Officers Allegedly Controlled

The pleading asserts that from October 2024 through April 2026, Coastal repeatedly described growth in CCBX, its banking-as-a-service segment, as disciplined and protected by partner indemnification. As alleged, a single partner loan portfolio had materially deteriorated by the time Coastal disclosed a $68.8 million credit expense tied to that relationship on July 30, 2026.

Alleged CEO and CFO Section 20(a) Control Person Liability

• Eric M. Sprink, CEO and a director at all relevant times, allegedly delivered the CCBX growth and credit-quality assurances across multiple quarterly announcements.
• Joel Edwards served as CFO from 2012 until his 2025 retirement, then returned as Interim CFO effective August 15, 2026.
• Coastal announced on July 22, 2026 that Brandon Soto, CFO since October 1, 2025, would step down, just eight days before the credit expense was disclosed.
• As averred, each officer had access to the challenged statements before or shortly after issuance and the ability to prevent or correct them.
• Count I asserts Section 10(b) and Rule 10b-5 claims against all defendants, while Count II asserts the Section 20(a) claim against the three officers.

Why Personal Accountability Is at Issue

The CEO and CFO are the officers who must personally certify a public company's periodic SEC reports under Sections 302 and 906 of the Sarbanes-Oxley Act.

"Corporate officers have a duty to ensure their companies' public statements are accurate and complete. The complaint alleges that Coastal's senior leadership kept emphasizing credit quality while a single partner portfolio was deteriorating, and that two of those officers sold millions of dollars in stock before the losses were disclosed. Investors are entitled to ask whether the people who controlled that message should answer for it." -- Joseph E. Levi, Esq.

Submit your information to learn more or call (212) 363-7500.

Levi & Korsinsky, LLP is a nationally recognized shareholder rights firm. Over the past 20 years, the firm has secured hundreds of millions of dollars for aggrieved shareholders. Ranked in ISS Top 50 for seven consecutive years.

Frequently Asked Questions About the CCB Lawsuit

Q: What court was the CCB class action filed in? A: The case was filed in the United States District Court for the Western District of Washington, governed by the Private Securities Litigation Reform Act of 1995.

Q: Who are the defendants named in the CCB lawsuit? A: The complaint names Coastal Financial Corporation and individual defendants including senior executives who signed SEC filings, made public statements, or certified financial disclosures under Sarbanes-Oxley.

Q: What is the CCB class action lawsuit about? A: A securities class action has been filed against Coastal Financial Corporation (NASDAQ: CCB) alleging materially false and misleading statements between October 28, 2024 and July 29, 2026. Shares fell approximately 43.5% after the Company disclosed a $68.8 million credit expense associated with a single CCBX partner relationship, driving a second quarter 2026 net loss of $42.1 million. Investors who purchased shares during the Class Period and suffered losses may be eligible to seek compensation.

Q: What is a lead plaintiff and why does it matter? A: A lead plaintiff is the investor appointed by the court to represent the entire class. Lead plaintiffs are typically investors with the largest documented losses. Being appointed does not increase individual recovery but gives direct oversight of how the case is run.

Q: What happens after I contact Levi & Korsinsky? A: An attorney will review your trading history at no cost and provide an initial assessment of your potential eligibility.

Q: What if I already sold my CCB shares -- can I still recover losses? A: Yes. Eligibility is based on when you purchased, not whether you still hold the shares. Investors who bought during the Class Period and sold at a loss may still be eligible to participate.

Q: Do I need to go to court or give testimony? A: No. The overwhelming majority of class members never appear in court or give depositions. If there is a settlement or recovery, eligible class members generally submit a claim form to seek their portion.

Q: What does it cost me to participate? A: There is no upfront cost to submit your information and review whether you may be eligible to recover. Should you choose to participate in the securities class action, they are generally handled on a contingency basis, with any attorneys' fees and expenses subject to court approval.

CONTACT:\

Levi & Korsinsky, LLP\

Joseph E. Levi, Esq.\

Ed Korsinsky, Esq.\

33 Whitehall Street, 27th Floor\

New York, NY 10004\

[email protected]\

Tel: (212) 363-7500\

Fax: (212) 363-7171

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SOURCE Levi & Korsinsky, LLP