Saturday 12 December 2009

Director buying...

Interesting piece on today's Money Box on Radio 4 about director buying sometimes being a reliable signal for small companies that are growing fast.

So I'll ask once again: if Blinkx is growing so fast, and is on track for such a bright future, why aren't its directors buying? If revenues are doubling every six months - and if costs aren't also rising in line - why aren't directors "filling their boots"?

It simply defies all logic, all common sense, all good business practise for directors not to be buying if the story that Chandratillake trots out to any journalist who will listen is in fact true. If there is a good reason why they aren't buying that should be communicated - except of course that we're talking about the company that never communicates anything to anyone...

The only fact we know for sure is that directors have not, so far as I am aware, made a single purchase in the open market in the two-and-a-half years since Blinkx floated.

Draw your own conclusions as to why - and if those are the wrong conclusions, whose fault is that?

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