M2 Founder Vaughan Bowen Charged With Insider Trading
Vaughan Bowen, the founder of M2 and former chairman and executive director of Vocus, has been hit with two charges of insider trading, each with a maximum charge of 15 years imprisonment.
The charges relate to Bowen’s sale of over five million Vocus Group shares, which he offloaded in 2019, shortly before Swedish private equity firm EQT Infrastructure IV Fund pulled out of a $2.3 billion offer to acquire the company.
ASIC alleges Bowen had inside information that suggested EQT would likely pull out of the deal, well before this information was announced.
Bowen founded telco company M2, who owned Dodo and iPrimus, before selling to Vocus in 2016. He then took an executive director role at Vocus, moving to chairman before leaving in 2018.
Vocus are no doubt aiming to distance themselves from Bowen, releasing a statement that reads: “No current director or employee of Vocus is associated with these allegations, which relate solely to the conduct of Mr Bowen following his resignation from the Vocus Board in March 2018.
“Vocus has had no association with Mr Bowen since his resignation from the board.”
A committal hearing is scheduled for the Magistrates’ Court of Victoria on December 7.