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How Is This Huge Yahoo Stock Deal Not Insider Trading?
- chollida1 13y agoHere are the main points... This morning before the open yahoo announced that 3 board members were leaving. This has understandably caused their stock price to drop. At the same time yahoo is buying back a large block of stock from its biggest investor at the price of Friday's close. They made this transaction with the knowledge of the board change, knowing full well that the stock price would drop on Monday morning. This article asks the question "Is this illegal", or put another way, did this constitute insider trading where Third Point and Yahoo did a stock trade with insider knowledge based on a price that was obviously going to drop when the news was made public.