{"id":970146,"date":"2026-06-03T09:12:41","date_gmt":"2026-06-03T13:12:41","guid":{"rendered":"https:\/\/www.marketnewsdesk.com\/index.php\/fsk-deadline-levi-korsinsky-reminds-fs-kkr-capital-corp-investors-of-upcoming-securities-class-action-deadline-2\/"},"modified":"2026-06-03T09:12:41","modified_gmt":"2026-06-03T13:12:41","slug":"fsk-deadline-levi-korsinsky-reminds-fs-kkr-capital-corp-investors-of-upcoming-securities-class-action-deadline-2","status":"publish","type":"post","link":"https:\/\/www.marketnewsdesk.com\/index.php\/fsk-deadline-levi-korsinsky-reminds-fs-kkr-capital-corp-investors-of-upcoming-securities-class-action-deadline-2\/","title":{"rendered":"FSK DEADLINE: Levi & Korsinsky Reminds FS KKR CAPITAL CORP. Investors of Upcoming Securities Class Action Deadline"},"content":{"rendered":"
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PR Newswire<\/p>\n<\/p><\/div>\n

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\n Time-Sensitive: Allegations Focus on Misleading Distribution Sustainability Representations That Cost FSK Shareholders $2.03 Per Share<\/i>\n <\/p>\n

\n NEW YORK<\/span>, June 3, 2026<\/span> \/PRNewswire\/ — Levi & Korsinsky, LLP alerts investors in FS KKR Capital Corp. (NYSE: FSK) of a pending securities class action. Class Period: May 8, 2024 through February 25, 2026. Check if you can recover your investment losses<\/a>\u00a0or contact Joseph E. Levi, Esq. at jlevi@levikorsinsky.com<\/a>\u00a0| (212) 363-7500.<\/p>\n

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FSK shares fell $2.03 per share (15.24%) on February 26, 2026, after the Company slashed its quarterly dividend from $0.70 to $0.48 per share, a 31% reduction investors were told would not happen. The Court has set July 6, 2026 as the deadline to apply for lead plaintiff appointment.<\/p>\n

\n The Alleged<\/span> Distribution Strategy Deception<\/b>\n <\/p>\n

For nearly two years, management assured shareholders that FS KKR Capital’s dividend program was built on a durable foundation. As early as the second quarter of 2024, the Company projected a minimum of $2.90 per share in annual distributions. As recently as May 2025, the lawsuit asserts, management publicly stated that “spillover income during prior periods of elevated interest rates supports the continued stability” of its $0.64 base and $0.06 supplemental quarterly distributions.<\/p>\n

The action claims these representations lacked a reasonable basis because the Company’s underlying portfolio was experiencing accelerating credit deterioration that directly threatened the income stream funding those distributions.<\/p>\n

\n Private Credit Distribution Dynamics in the BDC Sector<\/b>\n <\/p>\n

Business Development Companies generate distribution income primarily from interest payments on private loans. When borrowers stop paying, those loans are placed on “non-accrual status” and the income stream evaporates. The sustainability of any BDC dividend depends entirely on the credit health of its loan book.<\/p>\n