PUBLISHED : Monday, 18 March, 2013, 12:00am
UPDATED : Monday, 18 March, 2013, 2:17am

CLP executives top buyers' list as sell-side value slides

Sentiment also positive in property plays as chairmen of Tern, CSI and Goldin boost stakes


Buying rose for a third week while selling among directors was high for a second week, based on filings on the exchange last week.

Buyers outweighed sellers with 16 companies that recorded 69 purchases worth HK$412 million, compared with nine firms with 38 disposals worth HK$30 million.

The number of companies and trades on the buying side were sharply up from the previous week's 10 firms and 46 purchases, while the value was not far off from HK$476 million previously. On the selling side, the number of trades surged from 22 disposals the previous week but the value fell from HK$61 million.

The huge buy value last week was again due to acquisitions by chairman Michael Kadoorie and non-executive director Ronald McAulay in utility firm CLP with a combined 6.46 million shares bought from March 7 to 13 worth HK$433 million at an average of HK$67.04 each. That brought their total purchases since the last week of February to 14.7 million shares worth HK$987 million at an average of HK$67.13 each. The blue chip closed below their purchase price at HK$66.55 on Friday.

There was also positive sentiment in property plays Tern Properties, CSI Properties and Goldin Properties. The purchases were significant as these stocks tend to rise whenever their chairmen buy stock.

Chairman Chan Hoi-sow recorded his first trade in Tern since February last year with 12,000 shares purchased on March 12 at HK$4.50 each. The trade increased his holdings to 56.4 per cent of the issued capital. The acquisition was made on the back of the 29 per cent rise in the stock since December from HK$3.48.

Investors should note that the stock rose an average of 8 per cent six months after Chan bought shares based on 39 purchases since 1994.

The counter closed at HK$4.50 on Friday.

Chairman Mico Chung Cho-yee recorded his first on-market trades in CSI since March 2011 with 43.3 million shares bought from March 8 to 11 at 36 HK cents each. The trades raised his holdings to 44.7 per cent. The acquisitions were made on the back of the 18 per cent gain in the share price since the last week of December. Despite the rebound, the counter is still down since October 2012 from 39.5 HK cents.

Investors should note that the stock rose an average of 29 per cent three months after Chung bought shares based on 117 purchases since 2004.

The counter closed at 34.5 HK cents on Friday.

Chairman Pan Sutong resumed buying shares of Goldin at a lower price with 280,000 shares purchased from March 12 to 14 at an average of HK$4.49 each. The trades increased his holdings to 64.8 per cent.

Investors should note that the stock rose an average of 10 per cent six months after Pan bought shares based on 481 purchases since 2002.

The stock closed at HK$4.50 on Friday.

Robert Halili is managing director of Asia Insider


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