We are investigating AG Mortgage Investment Trust, Inc. (MITT) (“AG Mortgage” or the “Company”) for potential violations of the federal securities laws.
On March 27, 2020, AG Mortgage issued a press release disclosing that “[s]ince March 23, 2020, the Company and several of its subsidiaries have received notifications from several financing counterparties of alleged events of default under their financing agreements, and of certain of those counterparties’ intentions to accelerate the Company’s and such subsidiaries’ performance obligations under the relevant agreements.” AG Mortgage advised investors that “in the event of a default under one or more of those agreements, financial and other obligations under such agreements, and in some cases the Company’s obligations as a guarantor, may be accelerated and the counterparties may take ownership of the securities pledged to secure the financing obligations by the Company or its subsidiaries” and that “[t]he Company and its subsidiaries also may be subject to penalties under those agreements and may suffer cross-default claims from its other lenders.” On this news, AG Mortgage’s stock price fell $1.20 per share, or 30.38%, to close at $2.75 per share on March 30, 2020.