LegacyTexas

Practice Area: 
Stock Symbol: 
LTXB
Case Status: 
Investigations
Motion Deadline: 
June 17, 2019

Ademi & O’Reilly, LLP is investigating the LegacyTexas Financial Group, Inc. (NASDAQ: LTXB) for possible breaches of fiduciary duty and other violations of the law in connection with the sale of LTXB to Prosperity.

Ademi & O’Reilly, LLP alleges LTXB financial outlook is improving and yet LTXB shareholders will receive only the equivalent of $41.78 per share.  Prosperity is purchasing LTXB at a substantial discount.  The merger agreement unreasonably limits competing bids for LTXB by prohibiting solicitation of further bids, and imposing a termination penalty if LTXB accepts a superior bid. LTXB insiders will receive millions of dollars as part of change of control arrangements. We are investigating on the conduct of LTXB’s board of directors, and whether they are (i) fulfilling their fiduciary duties to all shareholders, and (ii) obtaining a fair and reasonable price for LTXB.