The Insider | Directors take advantage of share price increases on Hong Kong stock exchange to reduce stakes

There were several significant director trades on the Hong Kong stock exchange last week following the rise in share prices with insider buys in Dah Chong Hong Holdings and Road King Infrastructure and sales in Great Harvest Maeta Group and China Gas Holdings.

Although the buying fell, selling among directors rose for the second straight week based on exchange filings from March 12 to 16.

A total of 13 companies recorded 56 purchases worth HK$39 million versus nine firms with 34 disposals worth HK$60 million.

The buy figures were down from the previous week’s 16 companies, 69 purchases and HK$121 million. The sales, on the other hand, were up from the previous week’s eight firms, 29 disposals and HK$57.5 million.

Aside from directors, the buy-back activity fell with seven companies that posted 26 repurchases worth HK$152 million based on filings from March 9 to 15. The number of firms and trades were down from the previous five-day total of eight companies and 36 repurchases. The value, however, was sharply up from the previous week’s turnover of HK$132 million.

Lai Ni-hium, CEO of the motor vehicle distributor and logistics services provider Dah Chong, bought 150,000 shares on March 12 at HK$3.99 each. The trade increased his holdings to 707,000 shares or 0.04 per cent of the issued capital. He previously acquired 7,200 shares in October 2017 at HK$3.86 each, 100,000 shares in August 2017 at HK$3.93 each and 250,000 shares in March 2017 at HK$3.23 each. Before his trades since 2017, Lai acquired an initial 200,000 shares in June 2016 at HK$3.67 each.

The stock closed at HK$4.28 on Friday.