House proud directors decide to collect some of the profits
The group has historically been in the shadow of rival Credit Corp but in the past few weeks Collection House's shares have got a wriggle on big time, improving from $1 to as high as $1.50. One year ago they were 78¢.
Co-founder John Pearce sold 1.7 million shares at $1.30 and American resident Dennis Punches disposed of 4 million shares at the same price.
Perpetual bought those quantities and became a substantial shareholder with slightly more than 5 per cent of the capital.
Fuelling the re-rating of the stock was the December half performance where earnings jumped 27 per cent and chief executive Matthew Thomas forecast full year earnings of between $14.8 million to $15.4 million - about 20 per cent up.
Messrs Pearce and Punches kindly left something on the table for the buyer: the scrip was fetching $1.46 yesterday.
Elsewhere, GUD Holdings managing director Ian Campbell sold almost all his stake in the company ahead of his departure midyear. He sold to "rebalance" his share portfolio.
Campbell took the reins 14 years ago and fairly quickly presided over a huge re-rating of the group's shares, which went on to halve and double a few times. He sold at $8.19 a share, which compares with a share price of roughly $2.50 when he took over - appreciation of more than 8 per cent compound a year.
Another managing director, John Hughes, over at Thorn Group was a seller, as were two of his boardroom colleagues.
He sold 13 per cent of his holding and said the $1 million would be used to satisfy tax and other obligations and added he had no current intention to sell any more shares.
Bruce Ballantine Teele made rare appearances on the sellers' table.
Frequently Asked Questions about this Article…
Co‑founder John Pearce sold 1.7 million Collection House shares at $1.30, and American resident Dennis Punches disposed of 4 million shares at the same price.
The stock re‑rated after a strong December half where earnings jumped 27%, and CEO Matthew Thomas forecast full‑year earnings of $14.8 million to $15.4 million (about 20% up), helping the share price improve from around $1.00 to as high as $1.50.
Perpetual purchased the quantities sold by the directors and became a substantial shareholder with slightly more than 5% of Collection House capital.
After the directors sold at $1.30, the scrip was fetching about $1.46 the following day, according to the article.
Ian Campbell sold almost all of his GUD Holdings stake ahead of his planned departure midyear, selling at $8.19 a share — compared with roughly $2.50 when he took over — reflecting long‑term share price appreciation.
Yes. Thorn Group managing director John Hughes sold 13% of his holding to raise about $1 million to satisfy tax and other obligations, and he said he had no current intention to sell any more; two of his boardroom colleagues also sold shares.
As illustrated in the article, directors may sell to realise gains after strong share appreciation, rebalance their personal portfolios (Ian Campbell cited rebalancing), satisfy tax or other personal obligations (John Hughes), or because of upcoming changes like departure from the company.
Collection House chief executive Matthew Thomas provided the outlook, forecasting full‑year earnings between $14.8 million and $15.4 million and highlighting the 27% earnings jump in the December half.
Call 1300 880 160
Start a chat
Schedule a call
