By Michael Calia
Compugen Ltd. on Monday said it isn't being investigated, to its
knowledge, for insider trading by the Israeli Securities
Authority.
The husband of the company's chief financial officer is under
investigation for allegedly giving friends and family inside
information about a partnership between Compugen and Bayer Pharma
AG, the company said, citing Israeli media reports.
"Although certain officers of the company, including (Chief
Financial Officer Dikla Czaczkes Axselbrad), have been investigated
by the ISA, to the company's knowledge, the company itself is not a
subject of this investigation," Chairman Martin Gerstel said.
"Furthermore," he added, "to the company's knowledge, currently
no restrictions have been imposed by the ISA on Dikla's continuing
performance as CFO of Compugen."
The drug-research company said insider trading would be a
"serious violation" of its policy, and that it would treat it as
such. However, at this moment, the company hasn't made any
decisions about Ms. Axselbrad's role, it added, as the
investigation is still in its early stages.
Bayer and Compugen reached a research-and-development agreement
in August, focusing on antibody-based cancer immunotherapies, which
are intended to fight cancer by stimulating the body's immune
cells. Compugen's shares jumped 45% the day the agreement was
disclosed.
Compugen's stock fell eight cents to $10.31 in early trading
Monday. The stock is down 4.4% so far this year.
Write to Michael Calia at michael.calia@wsj.com
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