WSJ – U.S. securities regulators are examining whether SAC Capital Advisors LP improperly profited from trades made before a health-care takeover was announced, the second such deal drawing scrutiny to the hedge fund, according to people familiar with the matter.
The Securities and Exchange Commission is trying to determine whether SAC used inside information to profit from Johnson & Johnson’s 2009 takeover of Cougar Biotechnology Inc., the people said. The civil inquiry also encompasses whether an “expert network” business that is part of an investment bank leaked nonpublic information to traders, the people said.
