Activision Deals Being Investigated By Justice Department, SEC
Million dollars of Activision stock just before the acquisition of Microsoft
That Wall Street Journal reports that three men- Fox co-founder Barry Diller Reggie Miller – Hate socialite Alexander von Furstenberg and music mogul David Geffen are currently under two separate federal investigations for alleged insider trading involvement in their purchase. The allegations center on the trio’s $108 million purchase of Activision Blizzard. The store was only daytime before the deal to Microsoft was announced in January. After the deal, those same shares are worth an estimated $168 million. Leaving the three men with a quick profit of $60 million.
The timing of the deal, the amounts involved. And one of the men’s connections to Activision Blizzard (more on that in a minute) is suspicious. As a result, the Department of Justice is “investigating whether any of the option transactions violated insider trading laws,”. And the Securities and Exchange Commission is “separately conducting a civil insider trading investigation.”
Barry Diller is the central figure of the three men
Having served alongside Activision CEO Bobby Kotick on the Coca-Cola board of directors. Or at least he did before Kotik recently “left” this role. after historical allegations of abuse and harassment at Activision Blizzard. The two were not just casual colleagues; Diller called Kitty a “longtime friend.”
Diller, in turn, is also very close to Geffen, while Diller is married to Von Furstenberg’s mother. So you can see why the SEC and the DOJ decided to investigate the deals. And they don’t have to work overtime to pull together the trio’s bonds. Speaking from WSJ Regarding the report, Diller went on record saying that “it was just a good bet. We acted without any information from anyone. It’s one of those concurrencies.” At the exact time, von Furstenberg told the piece that he “bought Activision stock back and believed Activision would either go personal at some moment or be accepted at some moment.”