Disposal time as $181 million changes hands at season's end
Heading the disposals was Richard Graham, the executive chairman and co-founder of Infomedia, which offers an automotive parts catalogue to customers around the world.
Graham sold 99 per cent of his 34 per cent ownership stake in the company to a range of institutions.
"My reasons for selling my shares are personal and in no way reflect my belief in the fortunes of the company in which I have the greatest confidence," he said. He will remain on the board as non-executive chairman.
Infomedia's pre-tax results have been patchy: $13.4 million in 2011, $11.2 million in 2010 and $12.1 million for the latest June year.
Tax-paid earnings are tipped by the group to improve by 10 per cent to 19 per cent in the current year.
Perpetual looks to have bought, taking about 17 million shares.
Michael Malone cashed in $28.5 million of chips in iiNet, an internet service provider he founded in the garage of his parents' home two decades ago.
Director Simon Hackett, who sold Internode to iiNet, sold half his stake and banked $34.4 million. "If I felt like iiNet's share price was going down from here ... I would've sold the whole lot," he said.
Elsewhere, a clutch of people exercised paper and sold shares; Sonic Healthcare, JB Hi-Fi, carsales.com, Telstra and Amcor were the companies concerned.
Among buyers, Boart Longyear directors bought following severe discounting of the drilling services group's shares after news of a loss of either $31 million or $367 million, depending on whatever measure takes your fancy.
Frequently Asked Questions about this Article…
Director selling jumped sharply at the end of results season, with about $181 million of sales recorded compared with less than $4 million of buying, according to the article.
The article highlights three big sellers: Richard Graham, executive chairman and co‑founder of Infomedia, who sold 99% of his 34% stake; Michael Malone, who cashed in about $28.5 million of iiNet shares; and Simon Hackett, who sold half his stake and banked about $34.4 million.
Richard Graham sold 99% of his 34% ownership of Infomedia to a range of institutions. He said his reasons were personal and did not reflect a lack of confidence in the company; he will remain on the board as non‑executive chairman. The article also notes Infomedia’s patchy pre‑tax results ($13.4m in 2011, $11.2m in 2010 and $12.1m for the latest June year) and that the group has tipped tax‑paid earnings to improve by 10% to 19% in the current year.
Yes. The article says Perpetual appears to have bought, taking about 17 million shares (in the context of the Infomedia transaction), and a range of institutions bought into Richard Graham’s sold stake.
iiNet founders sold significant holdings: Michael Malone cashed in about $28.5 million, while director Simon Hackett sold half his stake for roughly $34.4 million. Hackett was quoted saying that if he thought iiNet’s share price was going down he would have sold the whole lot, implying he kept the remainder because he didn’t expect an immediate fall.
The article reports that a clutch of people exercised paper and sold shares in Sonic Healthcare, JB Hi‑Fi, carsales.com, Telstra and Amcor, contributing to the wave of director‑related sales.
Yes. Boart Longyear directors bought shares after the drilling services group’s stock was severely discounted following news of a loss — reported in the article as either $31 million or $367 million depending on the measure used.
Not necessarily. The article gives an example: Richard Graham said his Infomedia sale was for personal reasons and he remains non‑executive chairman, suggesting selling can be unrelated to company prospects. At the same time, director buys such as those at Boart Longyear show insiders sometimes act because they see value. The article itself does not make broader investment recommendations.
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