scorecardThe SEC has filed a lawsuit over that bizarre, typo-filled Avon buyout offer from a firm no one had ever heard of
  1. Home
  2. stock market
  3. The SEC has filed a lawsuit over that bizarre, typo-filled Avon buyout offer from a firm no one had ever heard of

The SEC has filed a lawsuit over that bizarre, typo-filled Avon buyout offer from a firm no one had ever heard of

The SEC has filed a lawsuit over that bizarre, typo-filled Avon buyout offer from a firm no one had ever heard of
Stock Market1 min read

REUTERS/Brendan McDermid

The Securities and Exchange Commission has filed a lawsuit in connection with the strange buyout offer made to Avon last month.

According to a court filing, the SEC has sued a bunch of firms: PTG Capital Partners, PST Capital Group, Nedko Nedev, Strategic Capital Partners Muster, and Strategic Wealth Investment.

The SEC alleges that the defendants made "coordinated attempts to fraudulently manipulate the price" of Avon, as well as Tower Group International and Rocky Mountain Chocolate Factory.

Avon's stock rocketed nearly 20% on May 14 after a filing on the SEC's Edgar website indicated PTG Capital Partners was offering to buy Avon for $18.75 per share.

The filing had typos; in the 'about' section, the firm referred to itself as "TPG Partners," a massive private equity firm that is not apparently affiliated with PTG Capital Partners.

The following day, Reuters reported that the FBI was looking into the suspicious bid.

In trading on Thursday, shares of Avon were lower but little changed.

More to come...

NOW WATCH: Here's what happens when you get bitten by a black widow

READ MORE ARTICLES ON




Advertisement