Thornburg Mortgage Files To Tap Securities Sales (TMA)

Thornburg Mortgage Inc. (NYSE: TMA) has filed an open shelf registration with the SEC to sell securities from time to time in the form of debt securities, common stock, preferred stock, warrants and shareholder rights.  As this is an open filing, no limit was set as to the amount and no underwriters were named.

This filing does note that certain selling security holders may also sell from time to time an unstated amount of securities.  According to filing, Thornburg will use the majority of proceeds to finance the acquisition or origination of additional adjustable rate mortgage (ARM’s) assets.  It may also use a portion of the proceeds for other general corporate purposes, which were noted as repayment of debt maturities, debt redemption, acquiring assets, capital expenditures and working capital, and for liquidity needs.  As normal, no proceeds from the sale of securities by the selling holders will go the company.

Thornburg Mortgage Inc. shares closed down 1.3% at $2.25 today, and shares have traded in a 52-week trading range of $0.69 to $28.40.

Jon C. Ogg
March 17, 2008