GLENCORE boss Ivan Glasenberg has made another show of confidence in the commodity trader, buying almost £13.5m of shares to add to his holding as part of a plan to use his dividend income to buy more shares.
Glasenberg, who announced last week he had bought £10m of shares and would buy more, bought another 3m shares on Friday at 448p each, according to a regulatory filing yesterday.
That puts his stake in the company – the single largest holding – at around 15.8 per cent.
Glencore shares closed down 3.2 per cent at 440p, in line with a sector battered by fresh worries over the outlook for commodities demand.
The shares have traded below the flotation price of 530p since their debut in May.
Glencore said on Friday Glasenberg would use his dividend income to buy up to a total of £34m of shares, up to 21 September.
Meanwhile, Minara Resources, Australia’s second biggest nickel miner, said shareholders should accept an A$268m (£174m) offer from Glencore, which last month bid for the shares it does not already own. Minara is 73 per cent owned by Glencore.
Glencore, which dropped its conditions on the offer last week, said last month it would offer A$0.87 per share, a 36 per cent premium to the undisturbed closing price.
PUTTING THEIR MONEY WHERE THEIR MOUTHS ARE
Sky chief bought £384,670 worth of shares, accounting for almost his entire after-tax salary of £426,240. (Aug 2011)
Ocado chair bought £99,000 of shares on a day when the firm posted worse-than-expected results. Now owns 329,110 shares. (Yesterday)
Hammerson’s chief financial officer bought 50,000 shares in the property developer at 384.99p, costing him £192,500. (Sept 2011)
Aviva non-executive director bought 10,000 shares at a price of 307.37p, costing him £30,700. (Sept 2011)
City A.M. Reporter