Power buying at Fortescue a reflection on those who know
NEVILLE Power, Andrew Forrest's right-hand man at Fortescue Metals Group, has resumed buying shares in the iron ore miner.
NEVILLE Power, Andrew Forrest's right-hand man at Fortescue Metals Group, has resumed buying shares in the iron ore miner.Power is a man who likes buying Fortescue scrip in half-a-million-dollar dollops.He joined Fortescue early last year, became a director on September 1 and shortly thereafter started buying shares.On Tuesday he bought his sixth $500,000 lot and the prices he paid were $4.84, $4.56, $4.75, $4.50, $4.27 and now $4.59 a share.Great confidence, eh? And Andrew Forrest seems well pleased with his recruit.Yesterday Forrest said that he had needed someone who had a clear understanding of Fortescue's direction and the enormity and potential of its assets, and, most of all, had the importance of the group's culture as his prime responsibility."That's a rare and difficult person to find, and we have that in spades with Nev Power," Forrest said, and added that the former Thiess and Smorgon Steel employee also brought a hard operational edge and a tough commercial approach that came from years in hard-money contracting and mining, and in building major businesses.Power's stake is worth $4 million with the on-market portion of it bought at a $4.58 average price. The stock closed yesterday at $4.59.The man who is ahead of the game is fellow director Graeme Rowley who let 1 million shares go at $5.57 a share in March.Speaking of ahead of the game, consider three directors of mining service group Mineral Resources who sold upwards of $75 million of stock in March at $12-plus. The stock closed yesterday at $9.33.Elsewhere, concrete king Raymond Barro has returned to the Adelaide Brighton market, spending up big. In recent days, his Barro Properties has picked up shares at $2.83 but mainly at $3.01. Barro now holds 29.4 per cent of Adelaide Brighton.Among other business builders, Kevin Seymour bought 1 million shares at around 59? in Watpac, a construction group.He bought on Thursday, a couple of days after the company forecast underlying tax-paid earnings of around $15.5 million, placing the stock at about seven times earnings.Acorn Capital also has been a recent buyer and now holds about 5.5 per cent of the capital.The reporter owns ABC shares.