STEVENSON, Md., March 7, 2014 (GLOBE NEWSWIRE) -- The securities litigation firm of Brower Piven, A Professional Corporation, announces that a class action lawsuit has been commenced in the New Mexico District Court, Bernalillo County, on behalf of all common stockholders of Santa Fe Gold Corporation ("Santa Fe" or the "Company") (Other OTC:SFEG) asserting claims that the members of the Company's board of directors have breached fiduciary duties they owe to Santa Fe shareholders.
Santa Fe recently announced that it has entered into a definitive merger agreement to be acquired by Tyhee Gold Corp. ("Tyhee"). The Merger Agreement provides that each share of Santa Fe common stock will, by virtue of the merger be exchanged for: (a) 0.9 of one common share of Tyhee and (b) 0.45 of one warrant, with each whole warrant entitling the holder to purchase one Tyhee Common Share, at an exercise price of Cd$0.25 per Tyhee Common Share for a period of four years. Also under the merger, Santa Fe's president and CEO, Dr. W. Pierce Carson, will become a consultant to Tyhee and a member of Tyhee's board of directors. A Special Committee of Santa Fe's Board of Directors has approved the transaction and will recommend that its stockholders vote in favor thereof.
The complaint alleges that the members of the Company's Board of Directors breached their fiduciary duties arising out of their efforts to effectuate the merger of Santa Fe and Tyhee pursuant to an unfair process, for an unfair price and lacking material disclosures and that Tyhee aided and abetted such conduct. The complaint seeks, among other things, damages, injunctive relief, and recession of the proposed Tyhee transaction to the extent already implemented.
If you currently own common stock of Santa Fe and would like to learn more about the lawsuit, you may email or call Brower Piven, who will, without obligation or cost to you, attempt to answer your questions. You may contact Brower Piven by email at email@example.com, by calling (410) 415-6616, or at Brower Piven, A Professional Corporation, 1925 Old Valley Road, Stevenson, Maryland 21153. The senior attorneys at Brower Piven have combined experience litigating securities and other class action cases of over 100 years.
CONTACT: Brower Piven, A Professional Corporation Stevenson, Maryland Charles J. Piven, 410-415-6616 firstname.lastname@example.orgSource: Brower Piven, A Professional Corporation