re: ceo dumps (not all that it seems)
Hi Inquisitive,
Yes, I did.
I also noticed the suggestion that McGrath had actually purchased the 335,000 shares at the time of first joining UEC. If so, then nothing of this was mentioned publicly at the time. You would have thought that an announcement suggesting the the COO /CEO had purchased 335,000 shares to have been positively received by the market.
Assuming, however, that he did buy back then, then chances are, he paid more than 16c a share, as broadly speaking, the share price traded: 1) 18 - 15.5 (9/7-31/7) - low of 14.5, high of 18; 2) 17- 16 (1/8-31/8) - low of 16, high of 22.5; 3) 16-10.5 (3/9-28/9) - low of 10.5, high of 16; and 4) 9.4-12 (1/10-5/10) - low of 9.4, high of 12.
Buying @16, selling @28, therefore, would yield ~$40,000, on which 1/2 CGT would generate $30,000 after tax.
So, if he did actually buy back in 2001, then the proceeds last week approximated, $30,000 after tax gain, plus ~$55,000 original stake, making for net cash (not gain) of $85,000.
Otherwise, if he did buy under the Share Loan package in early 2003, the gain could still be in the low $20K region.
McGrath was entitled to sell, but in doing so, he has sent (as jfc indicated earlier) a negative message.
