This ASX All Ords director has bought 25,000 of his company’s shares in a week

When a company director buys up 25,000 of their own company’s shares, it’s certainly an event to take note of. Yes, that’s what has happened this week with one ASX All Ords share. 

Race Oncology Ltd (ASX: RAC) is an All Ords healthcare share. Its Zantrene cancer drug is currently in development, which the company hopes will protect against several types of cancer:

Earlier this week, the company put out an ASX notice regarding director Dr Daniel Tillett. Tillett is an executive director at Race Oncology, as well as the company’s chief science officer.

This announcement declared that Tillett had acquired 25,550 shares over 11, 12 and 13 January in on-market purchases. At today’s share price of $2 (at the time of writing), those 25,550 shares would have a value of $51,100.

This latest purchase brings Tillett’s total holdings in Race Oncology to 13,685,282 fully-paid ordinary shares. That stake would have a value of $27.32 million right now.

Tillett also owns another 2,307,925 shares (worth another $4.6 million) that are under voluntary escrow until November 2023. In addition, he also owns 2 million options, exercisable at a price of $2.65 and which expire in November 2025.

Do All Ords investors like management buying shares?

So why does this matter to ordinary ASX investors? Well, shareholders usually like to see that the management team has significant skin in the game when it comes to the fortunes of the company they are running.

They tend to like it even more when said management team adds skin to said game. That is exactly what has happened this week with Tillett and his 25,550 new shares.

Shareholders of Race Oncology have also had a stellar run over the past few years. The company may be significantly down from its 2021 highs of close to $4 a share. But it was only back in 2019 that Race was a 5-cent penny stock. So longer-term investors have enjoyed returns of close to 4,000% in just a couple of years.

The post This ASX All Ords director has bought 25,000 of his company’s shares in a week appeared first on The Motley Fool Australia.

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Motley Fool contributor Sebastian Bowen has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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