Milberg Weiss Announces Investigation Relating to Class Action Lawsuits Filed on Behalf of Certain Investors of Quanta Capital Holdings, Ltd. -- QNTA

The law firm of Milberg Weiss & Bershad LLP announces that it is investigating possible illegal conduct as alleged in proposed class action lawsuits filed by certain law firms on behalf of investors in Quanta Capital Holdings, Ltd. ("Quanta" or the "Company") (NASDAQ: QNTA) who purchased the common stock and/or preferred stock of Quanta between May 14, 2004 and March 2, 2006, inclusive (the "Class Period"), including those who purchased common stock and/or preferred stock pursuant and/or traceable to the Secondary Offering on or about December 14, 2005.

The class actions are pending in the United States District Court for the Southern District of New York against Quanta and certain of its officers and directors. One of two above-referenced actions alleges that Quanta and certain of its officers and directors violated Section 10(b) and 20(a) of the Securities Exchange Act of 1934 and Rule 10b-5 promulgated thereunder. The Company is said to have misrepresented that it failed to properly account for losses and to set aside adequate reserves to account for specific, weather-related claims in order to maintain a favorable rating from A.M. Best Company.

In addition, the other action seeks to pursue remedies under the Securities Act of 1933. Specifically, the action alleges that during the Class Period, Quanta and certain of its officers and directors made misleading statements in two prospectuses (the "Prospectuses"); both issued in connection with a Secondary Offering on December 14, 2005, of 11,423,340 common shares valued at $4.75 per share, and 3,000,000 10.25% Series A preferred shares valued at $25 per share. These Prospectuses stated that Quanta's estimated net losses related for 2005 were $68.5 million. However, on March 2, 2006, it was revealed that net losses were $78.7 million, an additional $10.2 million -- 15% more than previously stated by the Company. On this news, Quanta common stock plunged 40% from $4.73 per share to $2.83 per share.

If you purchased the common stock and/or preferred stock of Quanta between May 14, 2004 and March 2, 2006, inclusive, including any purchases of common stock and/or preferred stock pursuant and/or traceable to the Secondary Offering on or about December 14, 2005, you may, no later than April 6, 2007, request that the Court appoint you as lead plaintiff. A lead plaintiff is a representative party acting on behalf of other class members in directing the litigation. To be appointed lead plaintiff, the Court must decide that your claim is typical of the claims of other class members, and that you will adequately represent the class. Your share in any recovery will not be enhanced or diminished by the decision whether or not to serve as a lead plaintiff. You may retain Milberg Weiss & Bershad LLP, or other attorneys, to serve as your counsel in this action.

Milberg Weiss & Bershad LLP has been representing individual and institutional investors for nearly 40 years and serves as lead counsel in federal and state courts throughout the United States. Please visit the Milberg Weiss website ( http://www.milbergweiss.com ) for more information about the firm. If you wish to discuss this matter with us, or have any questions concerning your rights and interests with regard to this matter, please contact the following attorneys:

Lori G. Feldman Anita B. Kartalopoulos One Pennsylvania Plaza, 49th Fl. New York, NY, 10119-0165 Phone number: (800) 320-5081 Email: contactus@milbergweiss.com Website: http://www.milbergweiss.com ATTORNEY ADVERTISING