Monday, July 02, 2007

Was German Merck's CFO indiscrete?

Merck, the German chemical and pharmaceutical company, could face a confrontation with the country's financial regulator Bafin after it emerged that the company last week gave market-moving information to a limited number of analysts ahead of official publication.

FT Deutschland, the Financial Times' sister paper, has learnt that Michael Becker, Merck's chief financial officer, informed analysts in a conference call about the company's turnover and operating profits. Merck increased its turnover in the first five months of the year by 42 per cent to €3.67bn ($4.96bn), while operating profits increased by 23 per cent to €579m, Mr Becker told analysts.

Seven analysts and Sascha Becker, who is in charge of investor relations at Merck, took part in the call.

Under German share trading law, listed companies are required to "publish immediately" any market-sensitive information, and violations can lead to fines.

More at the FT

No comments: