Director Trades: A millennial director put his $100k into his own company rather than a house deposit
It was millionaire’s row last week in small cap land, with four multi-million dollar trades and one that was pretty close.
But the item that caught our eye was a $100,460 trade at Recce Pharmaceuticals (ASX:RCE).
The director, James Graham, is 29 years old and said the amount was a considerable financial commitment for him, but:
“Rather than use my savings to put down a deposit on a house, I am backing what I believe is set to become a great Australian business success story.”
Talk about putting your money where your mouth is — or in his case, a future place to sleep.
Mr Graham now owns almost 5 per cent of the company, the vast majority of which has been bought with his own funds.
“Our trading policy was clear in disqualifying my participation in the recent capital raising as directors only have a window of a few weeks throughout the year to buy and sell – instead saw me a 10 per cent premium on-market – I’m ok about that,” he told Stockhead.
As we started banging on about in 2017, millennials are coming round to stocks over property — the ones who moved early on that theme will certainly be patting themselves on the back about that right now — and it’s still a thing today, just cooler apparently.
On to the millionaires.
Crater Gold Mining (ASX:CGN) chair Sam Chan spent about $13m in a capital raising last week.
However, included in the latest trading note were notices for two other trades as well, in 2016 and 2014 which were apparently only picked up when they were preparing the latest 3Y appendices.
In 2016, somehow they missed a $2m trade.
Since mid-2015 Crater has only issued eight director interest notices and two of those were late, so maybe they were out of practice.
Mike Ververka continued his habit of making a motza out of his options.
The Jumbo Interactive (ASX:JIN) chief has now made $15.5m since September by exercising options and selling off the shares; it’s cost him $5.4m.
He still has 250,000 options left, but the way he’s spending them they won’t last long.
And finally the boss of lithium player Altura Mining (ASX:AJM) has sold off 1.2m shares, making a tidy $572,514.
Remember James Brown who was buying from last week? Yeah, him.
Altura pre-empted any questions with a nothing-to-see-here note, saying it’s the first sale he’s made since he joined the board in 2011 and he only did it to buy into the recent $28m capital raising, destined to help with the final push to hit nameplate production capacity.
Data collated with Nick Sundich.