NEW YORK (TheStreet) -- Hedge Fund SAC Capital Advisors is being investigated by the Securities and Exchange Commission into whether traders used inside information to profit from the $15 billion takeover of MedImmune in 2007, The Wall Street Journal reported.
The investigation is part of a broad SEC inquiry into trading by hedge funds in stocks connected to some of the biggest health care deals of the past decade, the Journal said, citing people familiar with the matter.
It wasn't previously known that SAC was a focus of the SEC insider-trading probe, the newspaper noted. Authorities haven't alleged any wrongdoing by either SAC Capital or Steven A Cohen, who founded the firm in 1992.
"We respond to all regulatory inquiries fully and accurately, and we are confident in our business practices," an SAC spokesman told the newspaper.SAC also is being investigated by Iowa Sen. Charles Grassley into whether it engaged in potential insider trading in multiple instances over the past 10 years. Federal prosecutors in New York also are investigating the firm. MedImmune's purchase by AstraZeneca (AZN) is one of several big health care deals the SEC has been investigating for at least 18 months, the Journal said, citing the people familiar with the matter. -- Written by Joseph Woelfel
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