Sportradar Faces Class Action After Short Seller Fraud Allegations

Hagens Berman has launched an investigation into Sportradar for the period between November 7, 2024, and April 21, 2026. The firm claims the sports data giant intentionally partnered with black-market operators to bolster earnings, directly contradicting public assurances that integrity and regulatory compliance remained central to its operations. These accusations culminated on April 22, 2026, when the market wiped out $800 million in capitalization following findings from Muddy Waters Research and Callisto Research.

Muddy Waters alleged that illegal operators account for 20% to 40% of the company's total revenue, citing an analysis of website code and interviews with 15 current and former employees. Callisto corroborated these concerns, reporting that over 270 platforms—roughly a third of Sportradar’s client base—operate without proper licensing in prohibited markets. Reed Kathrein, a partner at Hagens Berman, stated the investigation is focused on whether Sportradar illegally recorded revenues while masking its business practices from shareholders. Investors seeking to participate in the class action have until July 17, 2026, to meet the lead plaintiff deadline.