Glancy Binkow & Goldberg LLP, Representing Preferred Shareholders of Thornburg Mortgage, Inc., Announces Class Action Lawsuit an
October 28 2008 - 8:07PM
PR Newswire (US)
LOS ANGELES, Oct. 28 /PRNewswire/ -- Notice is hereby given that
Glancy Binkow & Goldberg LLP has filed a Class Action lawsuit
in the United States District Court for the District of New Mexico
on behalf of a class (the "Class") consisting of all those persons
who tendered shares of Thornburg Series C, D, E or F Preferred
Stock of Thornburg Mortgage, Inc. ("Thornburg" or the "Company")
(NYSE: TMA; TMA-PC; TMA-PD; TMA-PE; TMA-PF) pursuant to the Tender
Offer originally launched on July 23, 2008, and the definitive
proxy statement filed with the Securities and Exchange Commission
and disseminated to shareholders that same day (the "Proxy"). A
copy of the Complaint is available from the court or from Glancy
Binkow & Goldberg LLP. Please contact us by phone to discuss
this action or to obtain a copy of the Complaint at (310) 201-9150
or Toll Free at (888) 773-9224, by email at , or visit our website
at http://www.glancylaw.com/. The Complaint charges Thornburg, the
Company's Board of Directors (the "Board"), MP TMAC LLC, MP TMA
(Cayman) LLC, and MatlinPatterson LLC (d/b/a "MatlinPatterson
Global Advisers LLC")(collectively, "MatlinPatterson"), with
violations of federal securities laws. Thornburg Mortgage, Inc.
operates as a residential mortgage lending company, which
originates, acquires and retains investments in adjustable and
variable rate mortgage (ARM) assets. The Complaint alleges, among
other things, that the Proxy fails to provide shareholders with the
following material information: (a) any projections, estimates
and/or information concerning Thornburg's future business and
financial prospects which would allow shareholders to make an
informed decision as to whether to tender their shares in the
Tender Offer; (b) any projections, estimates and/or information
which would allow shareholders to evaluate any strategic
alternative to the Tender Offer; (c) any projections or estimates
which would allow shareholders to evaluate the impact of a
potential bankruptcy on the Company and its preferred shareholders
who have the right to a $25.00 per share liquidation preference;
(d) any information regarding the viability of any strategic
alternatives which the Board considered and/or information relied
upon relating to those alternatives; (e) any information concerning
the potential or actual conflicts between and among members of the
Board, Thornburg and MatlinPatterson and the other parties to an
agreement with MatlinPatterson, pursuant to which MatlinPatterson
would lend Thornburg approximately $1.35 billion at an initial
interest rate of 18% per annum (the "Agreement"); (f) any
information, analysis, valuation, projections and/or estimates
prepared by, or opinion rendered by, any financial advisor at the
behest of the Board concerning the Tender Offer, the Agreement, or
any strategic alternative considered by the Board. The Complaint
further alleges that the Thornburg Board has placed its own
self-interest above those of Thornburg's shareholders by: (a)
agreeing to sell 90% of the Company to MatlinPatterson in return
for grossly inadequate consideration in the form of a risk-free
loan of approximately $1.3 billion; and (b) launching a coercive
tender offer aimed at eliminating the Company's preferred
shareholders, simultaneously diluting and devaluing the common
shares held by public shareholders. Plaintiff seeks to recover
damages on behalf of Class members and is represented by Glancy
Binkow & Goldberg LLP, a law firm with significant experience
in prosecuting class actions, and substantial expertise in actions
involving corporate fraud. If you are a member of the Class
described above, you may move the Court, no later than 60 days from
the date of this Notice, to serve as lead plaintiff, however, you
must meet certain legal requirements. If you wish to discuss this
action or have any questions concerning this Notice or your rights
or interests with respect to these matters, please contact Michael
Goldberg, Esquire, of Glancy Binkow & Goldberg LLP, 1801 Avenue
of the Stars, Suite 311, Los Angeles, California 90067, by
telephone at (310) 201-9150 or Toll Free at (888) 773-9224 or by
e-mail to . DATASOURCE: Glancy Binkow & Goldberg LLP CONTACT:
Lionel Z. Glancy or Michael Goldberg, both of Glancy Binkow &
Goldberg LLP, +1-310-201-9150 or 1-888-773-9224, Web site:
http://www.glancylaw.com/
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