Touchwood Chief and Deputy finally disclose sale after two weeks

Nearly two weeks since their transactions, Touchwood Investment Plc Chairman and Deputy have finally disclosed their sale of shareholding.

The Daily FT on Tuesday exclusively reported the sellout by the TWOD Chairman and Deputy amidst restructuring of the company as well as raised the issue of lack of disclosure and the duo taking up additional responsibilities and financial exposure in the troubled finance company CIFL.

As per the filings to the CSE yesterday by Corporate Advisory Services Ltd., Secretaries to the Company, TWOD Director and Deputy Chairperson S.G. Jamburegoda on 2 May had sold 9.38 million shares (near 9% stake) for an estimated value of between  Rs. 56.3 million and Rs. 68.5 million or Rs. 6.00 and Rs. 7.30 per share.

It appears she has completely sold out as her stake as at end 2012 it was 9.6 million shares.

Chairman R.A. Maloney had sold 2.5 million shares on the same day for between Rs. 14 and Rs. 15 million.

On 9 May a further five million shares for a value ranging Rs. 27.5 million and Rs. 29.5 million or Rs. 5.50 and Rs. 5.90 per shares.

Their selling on 2 May was among 19.77 million shares or an 18.4% stake of the company that traded whilst on 9 May selling was among 10.8 million shares or 10% traded with the duo contributing over 50% to the volume. Given the sellout, there was heavy speculative trading on TWOD shares in recent weeks.