SOURCE: Stull, Stull & Brody

September 25, 2009 16:34 ET

Stull, Stull & Brody Announces Class Action on Behalf of Shareholders of MAXXAM Inc.

NEW YORK, NY--(Marketwire - September 25, 2009) - Attorney Advertising. Notice is hereby given that a class action has been commenced on behalf of shareholders of Maxxam Inc. ("MAXXAM" or the "Company") (AMEX: MXM) arising from the Company's announcement of a proposed 1-for-250 reverse stock split of the Company's common stock and preferred stock, which would, in effect, allow MAXXAM to cease its reporting obligations and deregister its common stock with the SEC.

The complaint alleges that the Company's proposed price offered to shareholders is inadequate and that the process by which MAXXAM's Board of Directors is addressing the proposed transaction is unfair. Among other things, although the Company's common stock traded at $15.45 as recently as January 2009, the transaction offers shareholders who own fewer than 250 shares of common stock just $10.77 in cash for each share of common stock and just $11.52 for each share of preferred stock they own. Plaintiff seeks to recover damages on behalf of himself and all other individual or institutional shareholders of Maxxam, excluding defendants and their affiliates.

Stull, Stull & Brody has litigated many class actions for violations of securities laws and breaches of fiduciary duties on behalf of defrauded investors over the past 40 years and has obtained court approval of substantial settlements on numerous occasions. Stull, Stull & Brody has offices in New York and Los Angeles.

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 Tzivia Brody, Esq. at Stull, Stull & Brody by calling 1-800-337-4983 or 1-212-687-7230, or by email to ssbny@aol.com or by writing to Stull, Stull & Brody, 6 East 45th Street, New York, NY 10017.

Attorney advertising. Prior results do not guarantee a similar outcome.

Contact Information

  • CONTACT:
    Tzivia Brody, Esq.
    Stull, Stull & Brody
    1-800-337-4983 or 212-687-7230
    Email: ssbny@aol.com