BENSALEM, Pa.--(BUSINESS WIRE)--Law Offices of Howard G. Smith announces that a class action lawsuit has been filed on behalf of individuals who beneficially held 7.875% Senior Notes due 2020 (“2020 Notes”) of Vanguard Natural Resources, LLC (“Vanguard” or the “Company”) (NASDAQ: VNR) from February 10, 2016 to the present.
Vanguard 2020 Notes holders are encouraged to contact the Law Offices of Howard G. Smith to discuss their legal rights in this class action at 888-638-4847 or by email to email@example.com.
According to the complaint, Vanguard and its subsidiary, VNR Finance Corp., orchestrated a private debt exchange offer that excluded certain investors from participating in the exchange, and negatively impacted the value of the retail bondholders’ 2020 Notes.
On January 8, 2016, Vanguard announced a proposed private debt exchange only for Qualified Institutional Buyers—bondholders who own and invest at least $100 million in securities—and persons located outside of the U.S. (the “Exchange Offer”). Non-qualified investors could not participate in the exchange and did not receive any documents informing them of how the Exchange Offer would affect their interests. Additionally, Vanguard did not disclose the negative impact of the Exchange Offer on the 2020 Notes in terms of liquidity and marketability of the 2020 Notes.
The Complaint alleges that Vanguard administrators knew that the Exchange Offer would negatively impact the liquidity, marketability, and market price of the 2020 Notes, and concealed this information from the class members. Vanguard officials benefited from The Exchange Offer at the expense of the class members, whose 2020 Notes dropped in value. Vanguard's choice to pursue the transaction benefiting only a minority of 2020 Note holders allegedly violated the implied covenant of good faith and fair dealing. The obligations in the 2020 Notes were made secondary to the obligations in the 2023 Notes, weakening class members' right to receive payment of the principal and interest under the 2020 Notes and the right to sue to compel such payment.
If you are a Vanguard 2020 Notes holder, have information or would like to learn more about these claims, or have any questions concerning this announcement or your rights or interests with respect to these matters, please contact Howard G. Smith, Esquire, of Law Offices of Howard G. Smith, 3070 Bristol Pike, Suite 112, Bensalem, Pennsylvania 19020 by telephone at (215) 638-4847, toll-free at (888) 638-4847, or by email to firstname.lastname@example.org, or visit our website at http://www.howardsmithlaw.com.
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