Director Trades: Why buy solo when you can go as a trio?
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Three directors of Cokal (ASX: CKA) all bought over $100,000 in shares last week – Karan Bangur, Patrick Hanna and Domenic Martino.
Bangur easily bought the most, purchasing $925,781 in shares. In addition to being on Cokal’s board, Bangur is also on the board of an major Indonesian coal play which owns 20 per cent of Cokal.
Meanwhile, Hanna and Martino bought $105,000 and $232,000 respectively. Martino last bought shares in 2012 and since then the company has lost nearly two thirds of its value. But it’s only been November last year since Hanna last went in and the company is slightly higher now.
As you may have guessed by its, name the company produces coking coal. It only raised $1.6 million in a recent capital raise when it wanted $5.1 million and the directors made up some of the shortfall.
Another trio of directors who made large purchases belonged to North American-focused Jervois Mining (ASX: JRV). Bryce Crocker bought $300,000, Peter Johnston bought $500,000 and Brian Kennedy bought $1.4 million as a merger with eCobalt looms.
An announcement last weeks said the merger was, “the best opportunity to transition Jervois from developer to producer status”. It anticipates to reach this within the next couple of years.
The remainder of this weeks’ directors who traded went in solo.
Spirit Telecom (ASX: ST1) director James Jouglin finished the week $300,000 up by exercising options at 19 cents a share ($237,500) while the share price is at 24 cents.
The company has more than doubled since March – impressive but well short of competitor Uniti Wireless (ASX: UWL) which has surged over 600 per cent in that time. Both companies want to be an alternative to the NBN.
Another director who exercised options and made a profit was Beacon Minerals’ (ASX: BCN) Graham McGarry who exercised 40 million options at 2.5 cents each equating to $1 million. With the share price at 3.2 cents, he made $280,000.
Strike Energy (ASX: STX) director John Poynton bought $126,045 on market. The West Australian gas explorer is in the middle of a drilling campaign and is up by over 50 per cent in the last week.
Strike’s business partner is Warrego Energy (ASX: WGO) and both companies have risen this week. It has reported material gas floating to the surface but it is too early to evaluate results.
Tasfoods (ASX: TFL) director Shane Noble bought $116,167 in a rights issue. While other directors went in with lesser amounts, they all took up their full entitlements.
Despite a 30 per cent shortfall the company said it was “very pleased” by the “high participation rate in the rights issue”. The rights issue was undertaken so Tasfoods could complete the acquisition of Betta Milk to complement its existing milk brands.
Carnavale Resources (ASX: CAV) achieved a 52 per cent take up of its rights issue, with Chairman Ron Gajewsky putting in $144,874 last Friday.
Carnavale owns a tin project in Tanzania and a nickel-cobalt project in Western Australia.