Directors of small property firms go on buying spree

Buying surged while selling among directors was low for a second week with 59 companies that recorded 276 purchases worth HK$594 million against eight firms with 30 disposals worth HK$54 million.

Purchases were sharply up from the previous week's 35 companies, 164 purchases and HK$356 million while sales dropped from nine firms, 39 disposals and HK$120 million.

Buy-back activity also surged, with 22 companies that posted 117 repurchases worth HK$569 million. The figures rose from 16 firms, 88 trades and HK$349 million the week before.

Directors of property stocks led buying for a second week, with the bulk of the purchases in small and mid-cap mainland plays. Among the buyers were executive directors of Country Garden, Kaisa and KWG Property. The sentiment in the sector was not entirely positive as there was a rare sale by a director of Liu Chong Hing Investment.

Chairman Yeung Kwok-keung, vice-chairman Yang Huiyan and vice-president Liang Guokun acquired shares of Country Garden this month with a combined 25.97 million shares purchased from June 3 to 21 at an average of HK$3.82 each.

The acquisitions were made after the stock fell as much as 18 per cent from HK$4.63 on May 13.