LendingTree soars as brokerage hails 'positive' legal win

LendingTree

27/01/2025 18:33

** Shares of online lending marketplace LendingTree  TREE.O 
jump as much as 19.4%; last up 16.3% at $48.20
    ** Northland Capital says the 11th U.S. Circuit Court of
Appeals' ruling last week that the Federal Communications
Commission (FCC) had overstepped on the lead generation rule is
an "excellent result" for TREE
    ** FCC in 2023 had adopted a set of new rules to combat
"unwanted and illegal telemarketing calls and texts"
    ** Brokerage says the rule, initially expected to take
effect late January 2025, posed significant challenges to TREE's
business model    
    ** The rule would have limited TREE's ability to generate
leads internally and required an extra step into the process
whereby a customer expressly consents to individual banks,
lenders, insurers etc — Northland 
    ** Ruling is a "positive outcome" for TREE, Northland says,
adding that it should remove all uncertainty going forward while
clearing the path for continued growth 

 (Reporting by Arasu Kannagi Basil in Bengaluru)
 ((ArasuKannagi.Basil@thomsonreuters.com))