| Company: | TXU Corp. |
| Ticker Symbol: | NYSE: TXU |
| Class Period: | September 15, 2004 to October 13, 2004 |
| Date Filed: | Sep-08-05 |
| Lead Plaintiff Deadline: | Nov-07-05 |
| Court: | Northern District, TX |
| Allegations: |
A securities class action lawsuit has been filed in the United States District Court for the Northern District of Texas on behalf of a class (the "Class") of all persons who sold certain securities of TXU Corp. (NYSE: TXU) ("TXU" or the "Company") in the TXU Tender Offer between Sept. 15, 2004 and Oct. 13, 2004 ("the Tender Offer").
The Complaint alleges that defendants violated Sections 10(b), 14(e) and 20(a) of the Securities Exchange Act of 1934, and Rule 10b-5 promulgated thereunder, and common law fiduciary duties, by purchasing certain Corporate Units (NYSE: TXU PrC) and PRIDES (NYSE: TXU PrD) (collectively, "the Convertible Securities") without disclosing its plan to dramatically increase the dividend payout on TXU common stock upon completion of the Tender Offer. The complaint alleges that TXU in September 2004 made a self-tender offer to purchase the Convertible Securities at a price linked to the value of its common stock, without disclosing its plan to dramatically increase the common stock's dividend payout immediately following completion of the Tender Offer. Nine short days after the Tender Offer expired, TXU adopted a 350% increase in its common stock dividend, resulting in a 20% increase in the common stock price. To keep the common stock price low during the Tender Offer pricing period, however, TXU injected a false air of uncertainty into the market concerning its plan to increase the dividend, which enabled it to purchase the Convertible Securities from Plaintiffs and other Class members at a substantial and artificial discount.
If you acquired the securities of the defendants during the Class Period you may, no later than the Lead Plaintiff Deadline shown above, request that the Court appoint you as lead plaintiff through counsel of your choice. You may also choose to remain an absent class member. A lead plaintiff must meet certain requirements.
At LawyersandSettlements.com, it is our goal to keep you informed about important legal cases and settlements. We are dedicated to helping you resolve your legal complaints.
The Complaint alleges that defendants violated Sections 10(b), 14(e) and 20(a) of the Securities Exchange Act of 1934, and Rule 10b-5 promulgated thereunder, and common law fiduciary duties, by purchasing certain Corporate Units (NYSE: TXU PrC) and PRIDES (NYSE: TXU PrD) (collectively, "the Convertible Securities") without disclosing its plan to dramatically increase the dividend payout on TXU common stock upon completion of the Tender Offer. The complaint alleges that TXU in September 2004 made a self-tender offer to purchase the Convertible Securities at a price linked to the value of its common stock, without disclosing its plan to dramatically increase the common stock's dividend payout immediately following completion of the Tender Offer. Nine short days after the Tender Offer expired, TXU adopted a 350% increase in its common stock dividend, resulting in a 20% increase in the common stock price. To keep the common stock price low during the Tender Offer pricing period, however, TXU injected a false air of uncertainty into the market concerning its plan to increase the dividend, which enabled it to purchase the Convertible Securities from Plaintiffs and other Class members at a substantial and artificial discount.
If you acquired the securities of the defendants during the Class Period you may, no later than the Lead Plaintiff Deadline shown above, request that the Court appoint you as lead plaintiff through counsel of your choice. You may also choose to remain an absent class member. A lead plaintiff must meet certain requirements.
Register your Securities Complaint
If you have suffered from financial losses, you may qualify for damages or remedies that may be awarded in a possible class action lawsuit. Please fill in our form on the right to submit your complaint and we will have a lawyer review your securities complaint.At LawyersandSettlements.com, it is our goal to keep you informed about important legal cases and settlements. We are dedicated to helping you resolve your legal complaints.
Stay Informed
Get the latest on class action lawsuits, settlements & more! Subscribe to our free weekly newsletter.
Get our Newsletter!
Submit a New Complaint
Been wronged by a similar product or service?
Click here to send us your complaint.
