Class action litigation has been filed on behalf of investors who purchased or otherwise acquired the securities of Exelon Corporation (“Exelon” or the “Company”) (Nasdaq: EXC). If you purchased or otherwise acquired Exelon securities between February 9, 2019 and November 1, 2019, inclusive (the “Class Period”), you may move the court for appointment as lead plaintiff by no later than February 14, 2020.
You may retain Lieff Cabraser Heimann & Bernstein, LLP, or other attorneys, as your counsel in the action. Recognized by the National Law Journal as one of the nation’s top plaintiffs’ law firms, Lieff Cabraser is committed to safeguarding the rights of investors and upholding the integrity of the market. We have significant experience and a successful track record of representing institutional and individual investors in securities and financial fraud litigation.
Exelon investors who wish to learn more about the litigation and how to seek appointment as lead plaintiff should use the form below or contact Sharon M. Lee of Lieff Cabraser toll-free at 1-800-541-7358.
Background on the Exelon Securities Class Litigation
Exelon, incorporated in Pennsylvania and headquartered in Chicago, Illinois, is a utility services holding company that serves as the parent company of the Commonwealth Edison Company (“ComEd”), the largest electric utility in Illinois, and the sole electric provider in Chicago.
The complaint alleges that throughout the Class Period, Defendants made materially false and/or misleading statements and/or failed to disclose that: (1) Exelon and/or its employees were engaged in unlawful lobbying activities; (2) this conduct increased the risk of a criminal investigation into Exelon; (3) ComEd’s revenues were partly the product of unlawful conduct and therefore unsustainable; and (4) as a result, the Company’s public statements were materially false and misleading at all relevant times.
On July 15, 2019, Exelon disclosed that it had received a grand jury document subpoena from the U.S. Attorney’s Office for the Northern District of Illinois (“USAO”) concerning Exelon’s “lobbying activities in the State of Illinois.” On this news, the price of Exelon stock price fell $0.18 per share, or 0.37% from a previous closing price of $49.06 on July 12, 2019, to close at $48.88 per share on July 15, 2019.
On October 9, 2019, Exelon disclosed that the USAO sought records of communications with Illinois State Senator Martin Sandoval, chairman of the Illinois Senate Transportation Committee. Exelon also revealed that it had formed a Special Overnight Committee in June 2019 to oversee compliance with the subpoenas.
On October 15, 2019, shortly before market close, Exelon announced the departure of Chief Executive Officer Anne Pramaggiore, “effective immediately.” On this news, Exelon’s stock price dropped $2.15 per share, or 4.57% from a closing price of $47.06 on October 15, 2019, to close at $44.91 per share on October 16, 2019, on elevated trading volume.
On October 31, 2019, Exelon revealed that on October 22, 2019, the Securities and Exchange Commission had notified the Company that it had opened an investigation into Exelon’s lobbying activities. On this news, the price of Exelon dropped $1.17 per share, or 2.51% from a previous closing price of $46.66 on October 30, 2019, to close at $45.49 per share on October 31, 2019.
The next day, on November 1, 2019, the Chicago Tribune reported that “a source with knowledge of the case in Chicago” confirmed that “Pramaggiore is one focus of the ongoing federal investigation.” According to the same article, “the ComEd lobbying investigation dates to at least mid-May, when the FBI executed search warrants at the homes of former lobbyist Mike McClain of Quincy, a longtime confidant of House Speaker Michael Madigan, and of former 23rd Ward Ald. Michael Zalewski.” Additionally, “the information sought by the FBI included records of communications among Madigan, McClain and Zalewski about attempts to obtain ComEd lobbying work for Zalewski.” On this news, the price of Exelon stock declined an additional $0.15, or 0.33% from the previous day’s close, to close at $45.34 per share on November 1, 2019.
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About Lieff Cabraser
Lieff Cabraser Heimann & Bernstein, LLP, with offices in San Francisco, New York, and Nashville, is a nationally recognized law firm committed to advancing the rights of investors and promoting corporate responsibility.
The National Law Journal has recognized Lieff Cabraser as one of the nation’s top plaintiffs’ law firms for fourteen years. In compiling the list, the National Law Journal examines recent verdicts and settlements and looked for firms “representing the best qualities of the plaintiffs’ bar and that demonstrated unusual dedication and creativity.”