-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, LO8A3mdJJD8uWvR9gYXott0w22vvNG8Ane9PiRrGmGOCIBXPDV8scuUF5KIGfDgE Gw0t1bZtysnIr68AZBpa3A== 0000905148-07-001344.txt : 20070214 0000905148-07-001344.hdr.sgml : 20070214 20070214164805 ACCESSION NUMBER: 0000905148-07-001344 CONFORMED SUBMISSION TYPE: SC 13G PUBLIC DOCUMENT COUNT: 1 FILED AS OF DATE: 20070214 DATE AS OF CHANGE: 20070214 SUBJECT COMPANY: COMPANY DATA: COMPANY CONFORMED NAME: TERAX ENERGY, INC. CENTRAL INDEX KEY: 0001143548 STANDARD INDUSTRIAL CLASSIFICATION: OIL AND GAS FIELD EXPLORATION SERVICES [1382] IRS NUMBER: 880475757 STATE OF INCORPORATION: NV FISCAL YEAR END: 0630 FILING VALUES: FORM TYPE: SC 13G SEC ACT: 1934 Act SEC FILE NUMBER: 005-79207 FILM NUMBER: 07621778 BUSINESS ADDRESS: STREET 1: 13355 NOEL ROAD STREET 2: 1370 ONE GALLERIA TOWER CITY: DALLAS STATE: TX ZIP: 75240 BUSINESS PHONE: (972) 503-0900 MAIL ADDRESS: STREET 1: 13355 NOEL ROAD STREET 2: 1370 ONE GALLERIA TOWER CITY: DALLAS STATE: TX ZIP: 75240 FORMER COMPANY: FORMER CONFORMED NAME: Terax Energy, Inc. DATE OF NAME CHANGE: 20050324 FORMER COMPANY: FORMER CONFORMED NAME: ROYAL PHOENIX DATE OF NAME CHANGE: 20010621 FILED BY: COMPANY DATA: COMPANY CONFORMED NAME: Magnetar Financial LLC CENTRAL INDEX KEY: 0001352851 IRS NUMBER: 043818748 STATE OF INCORPORATION: DE FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: SC 13G BUSINESS ADDRESS: STREET 1: 1603 ORRINGTON AVE. STREET 2: 13TH FLOOR CITY: EVANSTON STATE: IL ZIP: 60201 BUSINESS PHONE: (847)905-4400 MAIL ADDRESS: STREET 1: 1603 ORRINGTON AVE. STREET 2: 13TH FLOOR CITY: EVANSTON STATE: IL ZIP: 60201 SC 13G 1 efc7-0517_emailfmsc13g.txt UNITED STATES SECURITIES EXCHANGE COMMISSION Washington, D.C. 20549 - -------------------------------------------------------------------------------- SCHEDULE 13G Under the Securities Exchange Act of 1934 (Amendment No. ) TERAX ENERGY, INC. ------------------ (Name of Issuer) Class A Common Stock, $0.001 par value per share ------------------------------------------------ (Title of Class of Securities) 88078Q302 -------------- (CUSIP Number) December 31, 2006 ------------------------------------------------------- (Date of Event which Requires Filing of this Statement) Check the appropriate box to designate the rule pursuant to which this Schedule is filed: [X] Rule 13d-1(b) [_] Rule 13d-1(c) [_] Rule 13d-1(d) * The remainder of this cover page shall be filled out for a reporting person's initial filing on this form with respect to the subject class of securities, and for any subsequent amendment containing information which would alter the disclosures provided in a prior cover page. The information required in the remainder of this cover page shall not be deemed to be "filed" for the purpose of Section 18 of the Securities Exchange Act of 1934 ("Act") or otherwise subject to the liabilities of that section of the Act but shall be subject to all other provisions of the Act (however, see the Notes). Continued on following pages Page 1 of 11 Pages Exhibit Index: Page 10
SCHEDULE 13G CUSIP No.: 88078Q302 Page 2 of 11 Pages .......... ............................................................................................................ 1. Names of Reporting Persons. I.R.S. Identification Nos. of above persons (entities only). MAGNETAR FINANCIAL LLC .......... ............................................................................................................ 2. Check the Appropriate Box if a Member of a Group (a) [ ] (b) [ ] .......... ............................................................................................................ 3. SEC Use Only .......... ............................................................................................................ 4. Citizenship or Place of Organization Delaware ...................... ........ ....................................................................................... Number of 5. Sole Voting Power 3,700,000 Shares ........ ....................................................................................... Beneficially 6. Shared Voting Power None Owned by Each ........ ....................................................................................... Reporting 7. Sole Dispositive Power 3,700,000 Person With ........ ....................................................................................... 8. Shared Dispositive Power None .......... ............................................................................................................ 9. Aggregate Amount Beneficially Owned by Each Reporting Person 3,700,000 .......... ............................................................................................................ 10. Check if the Aggregate Amount in Row (9) Excludes Certain Shares (See Instructions) |_| .......... ............................................................................................................ 11. Percent of Class Represented by Amount in Row (9) 5.76% based on 64,291,529 shares outstanding. .......... ............................................................................................................ 12. Type of Reporting Person: IA; OO CUSIP No.: 88078Q302 Page 3 of 11 Pages .......... ............................................................................................................ 1. Names of Reporting Persons. I.R.S. Identification Nos. of above persons (entities only). MAGNETAR CAPITAL PARTNERS LP .......... ............................................................................................................ 2. Check the Appropriate Box if a Member of a Group (a) [_] (b) [_] .......... ............................................................................................................ 3. SEC Use Only .......... ............................................................................................................ 4. Citizenship or Place of Organization Delaware ...................... ........ ....................................................................................... Number of 5. Sole Voting Power None Shares ........ ....................................................................................... Beneficially 6. Shared Voting Power 3,700,000 Owned by Each ........ ....................................................................................... Reporting 7. Sole Dispositive Power None Person With ........ ....................................................................................... 8. Shared Dispositive Power 3,700,000 .......... ............................................................................................................ 9. Aggregate Amount Beneficially Owned by Each Reporting Person 3,700,000 .......... ............................................................................................................ 10. Check if the Aggregate Amount in Row (9) Excludes Certain Shares (See Instructions) |_| .......... ............................................................................................................ 11. Percent of Class Represented by Amount in Row (9) 5.76% based on 64,291,529 shares outstanding. .......... ............................................................................................................ 12. Type of Reporting Person: HC; OO CUSIP No.: 88078Q302 Page 4 of 11 Pages .......... ............................................................................................................ 1. Names of Reporting Persons. I.R.S. Identification Nos. of above persons (entities only). SUPERNOVA MANAGEMENT LLC .......... ............................................................................................................ 2. Check the Appropriate Box if a Member of a Group (a) [_] (b) [_] .......... ............................................................................................................ 3. SEC Use Only .......... ............................................................................................................ 4. Citizenship or Place of Organization Delaware ...................... ........ ....................................................................................... Number of 5. Sole Voting Power None Shares ........ ....................................................................................... Beneficially 6. Shared Voting Power 3,700,000 Owned by Each ........ ....................................................................................... Reporting 7. Sole Dispositive Power None Person With ........ ....................................................................................... 8. Shared Dispositive Power 3,700,000 .......... ............................................................................................................ 9. Aggregate Amount Beneficially Owned by Each Reporting Person 3,700,000 .......... ............................................................................................................ 10. Check if the Aggregate Amount in Row (9) Excludes Certain Shares (See Instructions) |_| .......... ............................................................................................................ 11. Percent of Class Represented by Amount in Row (9) 5.76% based on 64,291,529 shares outstanding. .......... ............................................................................................................ 12. Type of Reporting Person: HC; OO SCHEDULE 13G CUSIP No.: 88078Q302 Page 5 of 11 Pages .......... ............................................................................................................ 1. Names of Reporting Persons. I.R.S. Identification Nos. of above persons (entities only). ALEC N. LITOWITZ .......... ............................................................................................................ 2. Check the Appropriate Box if a Member of a Group (a) [_] (b) [_] .......... ............................................................................................................ 3. SEC Use Only .......... ............................................................................................................ 4. Citizenship or Place of Organization United States of America ...................... ........ ....................................................................................... Number of 5. Sole Voting Power None Shares ........ ....................................................................................... Beneficially 6. Shared Voting Power 3,700,000 Owned by Each ........ ....................................................................................... Reporting 7. Sole Dispositive Power None Person With ........ ....................................................................................... 8. Shared Dispositive Power 3,700,000 .......... ............................................................................................................ 9. Aggregate Amount Beneficially Owned by Each Reporting Person 3,700,000 .......... ............................................................................................................ 10. Check if the Aggregate Amount in Row (9) Excludes Certain Shares (See Instructions) |_| .......... ............................................................................................................ 11. Percent of Class Represented by Amount in Row (9) 5.76% based on 64,291,529 shares outstanding. .......... ............................................................................................................ 12. Type of Reporting Person: HC
Page 6 of 11 Pages Item 1(a). Name of Issuer: Terax Energy, Inc. (the "Issuer") Item 1(b). Address of Issuer's Principal Executive Offices: 13355 Noel Road 1370 One Galleria Tower Dallas, TX 75240 Item 2(a). Name of Person Filing: This Statement is filed on behalf of each of the following persons (collectively, the "Reporting Persons"): i) Magnetar Financial LLC ("Magnetar Financial"); ii) Magnetar Capital Partners LP ("Magnetar Capital Partners"); iii) Supernova Management LLC ("Supernova Management"); and iv) Alec N. Litowitz ("Mr. Litowitz"). This Statement relates to certain warrants to purchase Shares (as defined herein) held for the account of Magnetar Capital Master Fund, Ltd, a Cayman Islands exempted company ("Magnetar Capital Master Fund"). Magnetar Capital Partners serves as the sole member and parent holding company of Magnetar Financial. Magnetar Financial is a registered investment adviser under Section 203 of the Investment Advisers Act of 1940, as amended. Magnetar Financial serves as investment adviser to Magnetar Capital Master Fund. In such capacity, Magnetar Financial exercises voting and investment power over the warrants to purchase Shares held for the account of Magnetar Capital Master Fund. Supernova Management is the general partner of Magnetar Capital Partners. The manager of Supernova Management is Mr. Litowitz. Item 2(b). Address of Principal Business Office or, if None, Residence: The address of the principal business office of each of Magnetar Financial, Magnetar Capital Partners, Supernova Management, and Mr. Litowitz is 1603 Orrington Avenue, 13th Floor, Evanston, Illinois 60201. Item 2(c). Citizenship: i) Magnetar Financial is a Delaware limited liability company; ii) Magnetar Capital Partners is a Delaware limited partnership; iii) Supernova Management is a Delaware limited liability company; and iv) Mr. Litowitz is a citizen of the United States of America. Page 7 of 11 Pages Item 2(d). Title of Class of Securities: Class A Common Stock, $0.001 par value per share (the "Shares") Item 2(e). CUSIP Number: 88078Q302 Item 3. If This Statement is Filed Pursuant to ss.ss.240.13d-1(b) or 240.13d-2(b) or (c), Check Whether the Person Filing is a: (a) [_] Broker or dealer registered under Section 15 of the Exchange Act. (b) [_] Bank as defined in Section 3(a)(6) of the Exchange Act. (c) [_] Insurance company as defined in Section 3(a)(19) of the Exchange Act. (d) [_] Investment company registered under Section 8 of the Investment Company Act. (e) [X] An investment adviser in accordance with Rule 13d-1(b)(1)(ii)(E); (f) [_] An employee benefit plan or endowment fund in accordance with Rule 13d-1(b)(1)(ii)(F). (g) [_] A parent holding company or control person in accordance with Rule 13d-1(b)(1)(ii)(G). (h) [_] A savings association as defined in Section 3(b) of the Federal Deposit Insurance Act. (i) [_] A church plan that is excluded from the definition of an investment company under Section 3(c)(14) of the Investment Company Act. Item 4. Ownership: Item 4(a). Amount Beneficially Owned: As of February 5, 2006, each of Magnetar Financial, Magnetar Capital Partners, Supernova Management and Mr. Litowitz may be deemed to be the beneficial owner of the 3,700,000 Shares held for the account of Magnetar Capital Master Fund. Item 4(b). Percent of Class: The number of Shares of which each of Magnetar Financial, Magnetar Capital Partners, Supernova Management and Mr. Litowitz may be deemed to be the beneficial owner constitutes approximately 5.76% of the 64,291,529 total number of Shares outstanding. Item 4(c). Number of Shares of which such person has: Magnetar Financial: - ------------------- (i) Sole power to vote or direct the vote: 3,700,000 (ii) Shared power to vote or direct the vote: 0 (iii) Sole power to dispose or direct the disposition of: 3,700,000 (iv) Shared power to dispose or direct the disposition of: 0 Page 8 of 11 Pages Magnetar Capital Partners, Supernova Management, and Mr. Litowitz: - ------------------------------------------------------------------ (i) Sole power to vote or direct the vote: 0 (ii) Shared power to vote or direct the vote: 3,700,000 (iii) Sole power to dispose or direct the disposition of: 0 (iv) Shared power to dispose or direct the disposition of: 3,700,000 Item 5. Ownership of Five Percent or Less of a Class: This Item 5 is not applicable. Item 6. Ownership of More than Five Percent on Behalf of Another Person: This Item 6 is not applicable. Item 7. Identification and Classification of the Subsidiary Which Acquired the Security Being Reported on By the Parent Holding Company: See disclosure in Item 2 hereof. Item 8. Identification and Classification of Members of the Group: This Item 8 is not applicable. Item 9. Notice of Dissolution of Group: This Item 9 is not applicable. Item 10. Certification: By signing below each of the Reporting Persons certifies that, to the best of their knowledge and belief, the securities referred to above were not acquired and are not held for the purpose of or with the effect of changing or influencing the control of the issuer of the securities and were not acquired and are not held in connection with or as a participant in any transaction having that purpose or effect. Page 9 of 11 Pages SIGNATURE After reasonable inquiry and to the best of my knowledge and belief, I certify that the information set forth in this statement is true, complete and correct. Date: February 14, 2007 MAGNETAR FINANCIAL LLC By: Magnetar Capital Partners LP As Sole Member By: /s/ Alec N. Litowitz ----------------------------- Name: Alec N. Litowitz Title: Manager of Supernova Management LLC, as General Partner of Magnetar Capital Partners LP Date: February 14, 2007 MAGNETAR CAPITAL PARTNERS LP By: /s/ Alec N. Litowitz ----------------------------- Name: Alec N. Litowitz Title: Manager of Supernova Management LLC, as General Partner of Magnetar Capital Partners LP Date: February 14, 2007 SUPERNOVA MANAGEMENT LLC By: /s/ Alec N. Litowitz -------------------- Name: Alec N. Litowitz Title: Manager Date: February 14, 2007 ALEC N. LITOWITZ /s/ Alec N. Litowitz ------------------------- Page 10 of 11 Pages EXHIBIT INDEX Ex. Page No. A. Joint Filing Agreement, dated February 14, 2007 by and among Magnetar Financial, Magnetar Capital Partners LP, Supernova Management LLC, and Alec N. Litowitz............................ 11 Page 11 of 11 Pages EXHIBIT A JOINT FILING AGREEMENT The undersigned hereby agree that the statement on Schedule 13G with respect to the Common Stock of Terax Energy, Inc. dated as of February 14, 2007 is, and any amendments thereto (including amendments on Schedule 13D) signed by each of the undersigned shall be, filed on behalf of each of us pursuant to and in accordance with the provisions of Rule 13d-1(k) under the Securities Exchange Act of 1934, as amended. Date: February 14, 2007 MAGNETAR FINANCIAL LLC By: Magnetar Capital Partners LP As Sole Member By: /s/ Alec N. Litowitz ----------------------------- Name: Alec N. Litowitz Title: Manager of Supernova Management LLC, as General Partner of Magnetar Capital Partners LP Date: February 14, 2007 MAGNETAR CAPITAL PARTNERS LP By: /s/ Alec N. Litowitz ----------------------------- Name: Alec N. Litowitz Title: Manager of Supernova Management LLC, as General Partner of Magnetar Capital Partners LP Date: February 14, 2007 SUPERNOVA MANAGEMENT LLC By: /s/ Alec N. Litowitz -------------------- Name: Alec N. Litowitz Title: Manager Date: February 14, 2007 ALEC N. LITOWITZ /s/ Alec N. Litowitz ------------------------- -----END PRIVACY-ENHANCED MESSAGE-----