Corporate: Bubs founder sells $5.9 million in shares – 20pc – to buy a house
Bubs Australia (ASX: BUB) founder Kirsty Carr has sold approximately 20 per cent of her shares in the company.
Since listing in January 2017 at 10 cents the stock has risen to $1.32 off the back of success in the Chinese market. Its most recent half-yearly revenue was $21 million.
In recent days, Carr has sold 4 million of the 20 million shares she held in the company. At $1.48 per share this would have netted her $5.8 million.
The change in directors interest notice would have left shareholders wondering why. However, the company released a letter to shareholders explaining:
“Mrs Carr has advised that the sale of the shares was for entirely personal reasons to acquire a new family home.”
However, Bubs clarified Carr had no intention of abandoning the company.
“The company has a full agenda to pursue under Mrs Carr’s leadership after formalising strategic alliances with Beingmate Baby & Child Food Co. (China), Alibaba’s Tmall, Chemist Warehouse and the launch of the Organic Cow Milk Infant Formula through the supply agreement with Fonterra.”
The notice said Carr was the second largest shareholder behind C2 Capital with her holding being 3.29 per cent and C2 being 14.97 per cent.
However, according to Bloomberg (and the company’s most recent annual report), a private company called ‘Infant Food Business’ hold 3.47 per cent. This would make it the second largest and Carr the third largest.
Bubs opened up 5 per cent from yesterday at $1.39. However it is down from its all-time high of $1.58 which was reached on May 3.
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