Ex-Medivation Exec Must Face Insider Trading Suit on Pfizer Deal

A former Medivation executive lost his bid to escape an insider trading lawsuit after a federal court in California said the SEC adequately alleged he acted with intent to defraud by using confidential information about Pfizer Inc.‘s impending acquisition of Medivation to buy stock options in a rival.

Matthew Panuwat worked as a senior director of business development for Medivation, an oncology-focused biopharmaceutical company. Within minutes of learning that Pfizer had expressed serious interest in acquiring Medivation, Panuwat allegedly bought 578 call option contracts in Incyte Corp.

When Medivation publicly announced its merger agreement with Pfizer the stock ...