A group of shareholders are bringing an action against the Lloyds banking group for allegedly misleading them during their acquisition, in January 2009, of Halifax Bank of Scotland (HBOS). The shareholders, including private investors, pension funds and insurers, are seeking around £350m in damages.
Specifically, the shareholders argue that the directors of Lloyds failed to disclose fully the perilous state of HBOS’s finances when they provided shareholders with a document on the acquisition and, consequently, breached their duties to the shareholders. The shareholders claim that, as a result of the takeover, their investments decreased in value by £1 per share.
A case management conference is listed for a day and a half on 22 July 2016.