Ares, Oaktree Cut From Suit Over $4B Exco Buyout

Law360, New York (May 4, 2011, 6:54 PM EDT) -- Oaktree Capital Management LP and Ares Management LLC on Wednesday escaped a Texas derivative suit accusing them of aiding misconduct by Exco Resources Inc.'s board in CEO Douglas H. Miller's $4 billion takeover bid for the natural gas and oil company.

U.S. District Judge Reed O’Connor dismissed the suit against Oaktree and Ares — who together hold 22 percent of Exco’s stock and joined in Miller’s bid — without prejudice at the joint request of the plaintiff and the hedge funds.

Exco shareholder Kathy Guerra filed...
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