Thursday, February 23, 2012

GILEAD...WHO KNEW WHAT AND WHEN?

Recently a company called Gilead made an acquisition.  It paid $10 billion dollars cash for a company called Pharmasset.  Pharmasset had no revenues but it had a potential biotech product of significance.  A few months after the acquisition, the efficacy of Pharmasset's product is called into serious question by negative data on the pending product.

Everyone who owned shares of  Pharmasset was able to sell to Gilead (who seems to have done pretty sloppy due diligence), including insiders. I wonder if $10 billion dollars doesn't mean much if it's not your money?  Who knew what?  Was this the ultimate insider sale?

It's kind of ironic to note, that on February 7th (before the announcement of disappointments in the drug trials) insiders at Gilead sold a substantial number of shares.  Was this the ultimate double-pronged insider sale jigsaw puzzle?


No comments:

Post a Comment

 

Shepard Osherow. All Rights Reserved