Update | Directors’ selling increases in HK as stock purchases decline

The buying fell while the selling among directors surged based on filings on the Exchange in the second week of January. A total of 36 companies recorded 183 purchases worth HK$404 million versus 17 firms with 66 disposals worth HK$153 million.
The buy figures were down from the previous week’s four-day totals of 44 companies, 225 purchases and HK$515 million. On the selling side, the number of firms and trades were sharply up from the previous week’s 10 companies and 24 disposals. The sell value, however, was down from the previous week’s disposals worth HK$200 million.

Meanwhile, the buyback activity was flat with 23 companies that posted 92 repurchases worth HK$216 million based on filings from Monday to Thursday. The number of firms and trades were slightly down from the previous week’s 25 companies and 98 repurchases. The value, however, was sharply down from the previous week’s turnover of HK$499 million.

There were several significant sales and purchases last week.

The disposal accounted for 89 per cent of the stock’s trading volume on that day. The disposal was made on the back of the 54 per cent drop in the share price since June from HK$0.46. The sale was also made before the company announced on January 12 that it would post equity investments fair value loss of HK$52 million for the past fiscal year. The stock closed at HK$0.22 on Friday.