HP Buys 3Com, SEC Has No Comment
November 12, 2009
If you haven’t heard, Hewlett Packard is taking over 3Com for $2.7B. What’s interesting from this story is that options volume spiked just before the deal was announced, with the most active issues being call options in November and December.
Volume in contracts to buy shares of the Marlborough, Massachusetts-based company surged to the highest level since September 2007 before Hewlett-Packard Co. said it would buy the maker of computer-networking equipment for $2.7 billion.
…
John Heine, an SEC spokesman, declined to comment about 3Com.
Let’s hope the SEC and DOJ pursue this. To make these trades on the heels of the Galleon insider-trading fiasco is pretty amazing. Hopefully federal authorities can reveal some of the names behind these transactions.
[via Bloomberg]
Similar Posts:
- Circuit City Chapter 11 Bankruptcy Pinches Local Companies
- Facebook Looking to Leave Downtown Palo Alto
- Cupertino Approves Main Street Project
- Symantec Taking Down Whisman Campus
- HP to Cut 24,600 Jobs Over Next 3 Years
zerohedge jumped all over that. could they have made those trades (300% more bought than available) any more obvious? if the galleon case shows anything it is that the SEC will turn a blind eye or take 3 years to build a case.