Trading Places: James Baillieu is betting on Candy Club to bounce back

In this week’s recap of substantial holders, James Baillieu has bought into Candy Club (ASX: CLB), WiseTech’s Michael Gregg bought into Oliver’s Real Foods (ASX: OLI) and Delphi bought a 14.6 per cent stake in Variscan Mines (ASX: VAR).

Substantial shareholders are shareholders holding 5 per cent or more of a company’s shares and these can be directors, individual investors or institutional investors.

Shareholders are required to announce to the exchange when they cross above or below the 5 per cent threshold and any change in their holdings while they remain above 5 per cent.

Buyers

While most of 2019’s IPOs have performed well, ‘sweets as a service’ firm Candy Club (ASX: CLB) has been one of the few exemptions, falling over 70 per cent since its IPO.

But James Baillieu has taken a $174,000 punt and became a substantial holder – holding 5.67 per cent. Also buying was director Chi Kan Tang who took his stake to 18.38 per cent and he forked out $565,000.

As we mentioned last Friday, Oliver’s Real Foods (ASX: OLI) welcomed WiseTech executive and investor Michael Gregg. He bought $704,000 in stock for a 6.82 per cent stake.

German institutional investor Delphi bought a 14.6 per cent stake in Variscan Mines (ASX: VAR) and increased its stake in TNG (ASX: TNG) to 12.28 per cent. The former is closer to Delphi than you may think. It just bought advanced zinc projects in Spain.

PointsBet (ASX: PBH) welcomed its new business partner Penn Interactive as a 5.57 per cent shareholder. The latter will help the former roll out gaming operations into five US states.

Among fund managers, Ethical Partners Funds Management bought a 7.77 per cent stake in Nick Scali (ASX: NCK) and Spheria Asset Management took its stake in GBST Holdings (ASX: GBT) to 17.99 per cent. The latter bought $5.3 million this week.

Naos Asset Management now has a 19.65 per cent stake in BTC Health (ASX: BTC) and Westoz Funds Management increased its stake in Zenith Energy (ASX: ZEN) to nearly 9 per cent.

Microequities Asset Management bought $870,000 in UCW (ASX: UCW) stock and now holds a 5.25 per cent stake. After a record quarterly, Redbubble (ASX: RBL) saw Challenger take a 5.11 per cent stake.

Alex Waislitz’ Tiga Trading bought a 6.35 per cent stake in Sundance Energy (ASX: SEA). In the company’s own words it overachieved last quarter, selling over a million barrels of oil equivalent.

Sellers

Among this weeks sellers, CBC sold out of Carawine Resources (ASX: CWX). The gold miner was spun off from Sheffield Resources (ASX: SFR) two years ago.

Another sell-out occurred in Hammer Metals (ASX: HMX) with Resource Capital selling all its shares – nearly $500,000.

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IOOF decreased its stake in Imdex (ASX: IMD) to 5.3 per cent while Perpetual ceased to be substantial holders of McGrath (ASX: MEA).

This came despite predictions this coming spring could be when the euphoria of Scott Morrison’s election among property investors translates from feelings to action.