(AsiaGameHub) –   A class action suit has been filed against Sportradar following a share price slide exceeding 22% in one session.

Bleichmar Fonti & Auld LLP, the firm bringing the action, alleges ties to unlawful gaming operators and fraudulent conduct.

Muddy Waters issued a report titled “Sportradar AG: Putting the BET into Aiding and Abetting. The Leader of Sports Integrity Powers the World’s Illegal Online Sports Books,” characterizing the firm’s model as reliant on illicit operators for continuity.

According to Muddy Waters, an estimated 20–40% of Sportradar’s revenue may stem from such sources, with close to 50 clients linked to unlicensed markets.

Callisto Research released parallel findings, indicating roughly one-third of platforms connected to Sportradar operate unlawfully, with unlicensed operators potentially representing 30–40% of top-line revenue. Callisto noted that at least three U.S. regulators have opened probes into the company.

The decline was swift, with shares falling from $16.84 on April 21, 2023, to $13.04 at the close on April 22, 2023, a drop of $3.80 per share.

Sportradar has rejected suggestions that its business relies on illegal gambling, describing itself as a global leader in real-time data supply to betting firms, leagues, and media, with integrity at the core of its operations.

Despite these statements, investors have launched a class action in the U.S. District Court for the Southern District of New York.

Sportradar Class A Ordinary shareholders have until July 17, 2026, to seek lead-plaintiff status. The company continues to highlight alliances with major leagues including the NBA, MLB, NHL, and PGA Tour, stating its standing depends on full compliance and transparency.