Trading Places: The gold stock that just won over Tolga Kumova as a substantial holder
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If you to know where fund managers and famous investors are putting their money, we’ve been keeping track of substantial holder buys (and sells).
Trading Places is Stockhead’s recap of the substantial holder movements among ASX small caps over the last fortnight.
Substantial shareholders are those holding 5 per cent or more of a company’s shares — 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, as well as any change in their holdings while they remain above 5 per cent.
The most notable of substantial holder buys this fortnight came from Melbourne-based resources investor Tolga Kumova.
He upped his stake in Firefly Resources (ASX:FFR) to 6.55 per cent. He bought 6.6 million shares at 15 cents a pop – worth $990,000 – in the WA gold explorer’s recent capital raising. Kumova’s buy came only two months after he first bought into Firefly.
$FFR Here we go again.
MD has a fair bit of exp $NST principal mine geo.
I am interested to see what grade the porphyry targets carry.
Maybe #gold exploration gods be kind.
Definitely feel like a drill result addict! https://t.co/j2BSRNskaA
— Tolga Kumova (@KumovaTolga) August 11, 2020
While there’s no shortage of gold success stories in 2020, few reported higher grades than Firefly’s ‘bonanza’ hit of 1,439.55 grams per tonne last month.
The company said the $6m deal would help it step up exploration activities and define a JORC resource by years’ end.
Among substantial holder buys by fund managers was Renaissance Smaller Companies taking its stake in FlexiGroup (ASX:FXL) to 5.9 per cent.
This company hasn’t seen the boom its peers had because it was hit by a bad debt spike as COVID-19 hit. But it is striving to turn things around, seeking to change its name to Humm (its BNPL product) and enter New Zealand.
One of the larger stocks to see a new substantial holder buyer is Australian Finance Group (ASX:AFG). Milford Asset Management has accumulated a 5.13 per cent stake in the mortgage aggregator.
Speaking of winners, retailers Baby Bunting (ASX:BBN) and Adairs (ASX:ADH) saw United Super and Wilson Asset Management respectively cease to be substantial holders – falling below 5 per cent ownership.