Publications
Publications
- November 2006
- HBS Case Collection
Selling Biovail Short
By: Malcolm P. Baker, Chris Lombardi and Aldo Sesia
Abstract
Hedge fund SAC Capital and analysts from Gradient Analytics and Banc of America face charges of stock price manipulation from Biovail, a Canadian pharmaceutical company. Gradient and BofA produced negative reports on Biovail's earnings quality. At the same time, SAC built a large short position in the stock. The defendants must consider specific and general strategic responses to these allegations.
Keywords
Stock Shares; Investment Banking; Asset Pricing; Financial Strategy; Crime and Corruption; Pharmaceutical Industry; Financial Services Industry; Canada
Citation
Baker, Malcolm P., Chris Lombardi, and Aldo Sesia. "Selling Biovail Short." Harvard Business School Case 207-071, November 2006.