Managing Director increases shareholding

This morning we saw the Managing Director of our gold exploration Investment Titan Minerals (ASX: TTM), Matthew Carr, increase his shareholding in TTM.

Mr Carr’s purchases were made off-market for a total of $380k at an average share price of 7.55c per share.

The “change in director's interest notice” showed that the transaction was completed on the 15th of July - a day when the TTM share price closed at 5.4c per share.

Effectively Mr Carr ended up paying an almost 40% premium to the market price on Friday to purchase the shareholding.

Mr Carr now holds ~28M shares in TTM.

We always like seeing the directors of our portfolio companies step up and buy shares on market, as it signals to us that the people closest to the company clearly see some value in topping up their shareholdings.

TTM has been one of those companies that has seen its share price fall from almost 11c per share all the way down to a low of 5c per share despite no fundamental changes to the business.

Buying from the company’s directors is also usually a good indicator to us that the sell off may be unwarranted or not indicative of internal views about the performance and future prospects of the company.