An investigation on behalf of current investors in Cougar Biotechnology, Inc. (NASDAQ: CGRB), who purchased their shares before May 21, 2009, over possible potential claims against the Board of Directors of Cougar Biotechnology, Inc. was announced.

According to the investigation by a law firm the investigation focuses on shareholder claims against the board of directors of Cougar Biotechnology, Inc. (NASDAQ: CGRB) arising out of their attempt to sell Cougar Biotechnology, Inc. to Johnson & Johnson and Kite Merger Sub, Inc., a wholly owned Subsidiary of Johnson & Johnson.

After trading on Thursday, May 21, 2009, Johnson & Johnson announced that it wants to purchase Cougar Biotechnology for about $1 billion in cash in a move to bulk up its cancer drug portfolio. Under the proposed agreement, Johnson & Johnson will initiate a tender offer to purchase all outstanding shares of Cougar Technology (NASDAQ: CGRB) for $43.00 per share. The deal is valued at approximately $1.0 billion. The investigation concerns possible breaches of fiduciary duty and other violations of state law related to the Cougar Technology's board's approval of the proposed transaction. Cougar Biotechnology is currently conducting two Phase III trials for acetate, a late stage, first-in-class compound for the treatment of prostate cancer. The agreement fails to advise shareholders as to the effect these trials had on the decision to enter into the agreement or the sales process Cougar Biotechnology conducted given their fiduciary duties to maximize shareholder value, so the investigation. Cougar Biotechnology, Inc., located in Los Angeles, California, is a development-stage biopharmaceutical company that acquires and develops products for the treatment of cancer. Cougar Biotechnology, Inc focuses on in-licensing drug candidates that are undergoing or have already completed initial clinical testing for the treatment of cancer, and then developing those drug candidates for commercial use. Shares of Cougar Biotechnology, Inc (NASDAQ: CGRB) closed on Friday at $42.82 per share, still less then the 52weekHigh of $45.00 per share.