According to a press release dated July 10, 2009, the complaint charges Kerr-McGee Corporation (“Kerr-McGee”), Anadarko Petroleum Corporation (“Anadarko”) and certain of Kerr-McGee and Tronox’s executives with violations of the Exchange Act. Tronox is a Delaware corporation engaged in the business of producing and marketing titanium dioxide – a white pigment used in a wide range of products to impart whiteness, brightness and opacity.
Tronox was spun-off from Kerr-McGee in a two-step transaction. In November 2005, Kerr-McGee sold 17.5 million shares of Tronox Class A shares in an initial public offering for $14.00 per share (the “IPO”) generating proceeds for Kerr-McGee of $225 million. After the IPO, Kerr-McGee continued to hold 56.7% of Tronox’s outstanding common stock. In March 2006, Kerr-McGee distributed the balance of the shares that it owned as Class B shares to its shareholders as a dividend (the “Spin-Off”).
The Complaint alleges that, throughout the Class Period, Defendants failed to disclose material adverse facts about the Company’s true financial condition, business and prospects. Specifically, the Complaint alleges that Defendants failed to disclose the true scope and extent of Tronox’s environmental and tort liabilities. When the market learned of the true facts about the Company, the price of Tronox stock declined precipitously.
On October 13, 2009, an order consolidating the actions, appointing lead plaintiff and approving lead plaintiffs' selection of lead counsel along with an accompanying opinion was entered by the court.
On November 24, 2009, a Consolidated Class Action Complaint For Violations Of The Federal Securities Laws was filed against the defendants in this action.
On June 28, 2010, an Opinion and Order was issued by the Court granting part and denying in part the defendants' motions to dismiss.
On July 30, 2010, the First Amended Consolidated Class Action Complaint was filed by the lead plaintiffs against the defendants.
On August 10, 2012, the Court issued an Order preliminarily approving the proposed settlement.
On November 26, 2012, the Court issued an Order Approving Plan of Allocation of Net Settlement Fund. On the same date, the Court also issued an Order Awarding Attorneys' Fees and Expenses. Finally, the Court entered a Final Judgment Approving Class Action Settlement. The Clerk of the Court was expressly directed to immediately enter judgment against Defendants.