Court approves provisional settlement in RYVYL shareholder lawsuit

SAN DIEGO - RYVYL Inc. (NASDAQ:RVYL) announced Friday that the United States District Court for the Southern District of California has granted provisional approval for a settlement in a shareholder derivative lawsuit against certain current and former officers and directors of the company. The microcap firm, currently valued at just $10.27 million with shares trading at $0.27, has seen its stock price plummet 78% year-to-date.

District Judge Gonzalo P. Curiel issued the order on November 14, 2025, provisionally approving the derivative settlement, conditionally approving the proposed form and manner of notice, and setting a date for a final settlement hearing.

The lawsuit, filed on June 22, 2023, by Christy Hertel derivatively on behalf of RYVYL Inc. (formerly known as GreenBox POS) against Ben Errez and others, will be resolved through this settlement. The agreement also resolves related derivative litigation pending in Nevada’s Eighth Judicial District Court in Clark County.

RYVYL has filed the Notice of Proposed Settlement of Derivative Lawsuits and the Stipulation and Agreement of Settlement with the U.S. Securities and Exchange Commission as exhibits to its Form 8-K dated November 21, 2025.

RYVYL operates a digital payment processing business that enables transactions globally and provides payment solutions for underserved markets, according to the company’s press release statement. Despite trading below its InvestingPro Fair Value, the company faces significant challenges with a "WEAK" financial health score, short-term obligations exceeding liquid assets, and analysts anticipating continued unprofitability this year. For deeper insights on RYVYL and 1,400+ other stocks, InvestingPro offers comprehensive research reports with actionable intelligence for smarter investing decisions.

In other recent news, Ryvyl Inc. announced a definitive agreement to merge with RTB Digital, a Web3 digital media SaaS technology company. This merger aims to combine Roundtable’s digital media platform with Ryvyl’s payment infrastructure, enhancing revenue and distribution growth for Roundtable’s premium media clients. Additionally, Ryvyl has avoided delisting from NASDAQ following a direct capital investment from Roundtable, which helped the company meet shareholder equity requirements. This investment strengthens Ryvyl’s financial position ahead of the planned merger and the company’s upcoming annual meeting, where a 15:1 reverse stock split will be proposed to meet NASDAQ’s minimum share price requirement.

In leadership changes, Aly Madhavji will join Roundtable as Chief Financial Officer to guide the company through the merger process. Current RYVYL CFO George Oliva will transition to Chief Accounting Officer after the merger. Ryvyl also appointed Tod Browndorf and Forest Ralph to its board of directors. Ralph brings extensive experience in financial leadership roles, while Browndorf will serve until the 2025 Annual Meeting of Shareholders. These developments reflect Ryvyl’s strategic efforts to strengthen its leadership and financial stability as it prepares for significant corporate changes.

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