REUTERS: Shares of LendingClub Corp hit a record low on Thursday after the online lender raised its loss estimate and cut its revenue forecast for the fourth quarter.
Shares of the company fell as much as 22.6 percent to US$3.29 and were among the top losers on the New York Stock Exchange,
The company said it now expected revenue in the range of US$155 million to US$160 million, below its earlier estimate of US$158 million to US$163 million. (http://bit.ly/2nB4aU9f).
Net loss is expected to range between US$6 million and US$10 million, compared with its previous loss forecast of US$3 million to US$7 million.
LendingClub has been trying to recover after an internal probe last year found the company had falsified documentation when selling US$22 million of loans to an investor.
The incident led to the ouster of Chief Executive Renaud Laplanche and gave bad press to the nascent industry.
However, the entry of Square Inc , which is headed by Twitter Inc CEO Jack Dorsey, into the online lending industry earlier this year has generated new interest in these companies.
(Reporting by Diptendu Lahiri in Bengaluru)