Northbridge Industrial (AIM:NBI) Director buying -focus on free cash but who is it going to?
Some significant Director buying at the specialist industrial equipment group has sent the shares soaring, although they still remain close to all-time lows. With the market capitalisation remaining well below tangible net asset value this one will firmly be on the radar of the value hunters and with free cash set to flow there are attractions. We offer our thoughts below.
Directors have purchased a combined 850,000 shares equivalent to 4.6% of Group share capital at 70p per share. The Chairman acquired 100,000, taking his holding to 1.235m shares, the CEO 150,000 shares, taking his holding to 500,000 shares and Western Selection, of which David Marshall a Non Exec of Northbridge is non-executive chairman, bought 600,000, taking its holding to 2.5m shares. The buying follows a recent statement from the Company that it was not aware of any operational or group-specific reason for the ongoing share weakness and the trading environment had not changed in a material way since the interims…