Migliaccio & Rathod LLP is investigating whether former BlackRock Capital Investment Corporation (BCIC) shareholders received misleading or incomplete information about BlackRock TCP Capital Corp.’s (TCPC) investment portfolio before the companies’ March 2024 merger.
In March 2024, BlackRock TCP Capital completed its merger with BlackRock Capital Investment Corporation. Former BCIC shareholders received approximately 0.3834 TCPC shares for each BCIC share they owned.
The merger was presented as combining two complementary investment portfolios to create a stronger business development company with opportunities for long-term growth.
However, following the merger, TCPC reported substantial declines in the value of its investment portfolio.
These disclosures raise questions about whether the financial condition of TCPC’s existing investments was accurately represented to BlackRock Capital Investment Corporation shareholders before the merger.
Migliaccio & Rathod is investigating whether former BCIC shareholders received TCPC shares based on merger disclosures that failed to adequately describe material credit risks and potential investment losses.
Shareholders May Have Experienced:
- Receiving TCPC shares in exchange for BlackRock Capital Investment Corporation shares;
- Relying on representations concerning the quality of TCPC’s investment portfolio;
- Experiencing substantial declines in the reported value of their TCPC shares;
- Receiving reduced quarterly dividends following the merger; or
- Suffering investment losses as concerns about TCPC’s existing investments emerged.
Potential Claims May Include:
- Material misrepresentations or omissions in merger-related disclosures;
- Misleading representations concerning investment portfolio valuations;
- Failure to disclose material credit risks affecting existing investments; or
- Violations of federal securities laws.
Signs You May Be Affected:
- You owned BlackRock Capital Investment Corporation shares before the March 2024 merger;
- You received TCPC shares in exchange for your BCIC shares;
- You received or reviewed merger-related disclosures;
- You held TCPC shares after the merger;
- You experienced investment losses or reduced dividend payments; or
- You have brokerage records documenting your BCIC holdings and TCPC shares received.
If you have encountered these issues, we would like to hear from you. Please complete the contact form on this page, send us an email at [email protected], or give us a call.