Boston, MA 09/29/2014 (wallstreetpr) – One of the major shareholder and Director of La Jolla Pharmaceutical Company (NASDAQ:LJPC), Kevin Tang, has resorted to accumulating shares of the company in the last three trading sessions of the last week. This is the second transaction of insider trading activities during the current month of September.
Buys Shares
La Jolla Pharmaceutical Company (NASDAQ:LJPC)’s Director and one of the major shareholders falling under the 10% ownership category, Kevin Tang, has purchased indirectly 95,000 shares at the rate of $9.099 on September 24, another 30,500 shares at a cost of $9.17 a share the following day and 44,055 shares at the rate of $9.213 a share on September 26, according to a Form 4 filed on September 26 with the regulator. In all, the Director has acquired 169,555 shares by paying $1.55 million during the three-day period.
The acquisition price of the Director suggested that he has paid a premium of nearly 129% from the one-year low price of $4.01 and a discount of close to 52.8% over the 52-week high price of $19.5. The recent purchase of shares has increased the Director’s indirect holding to nearly 1.87 million shares, which was valued around $17.28 million based on the Friday’s closing price of $9.25.
La Jolla Pharmaceutical Company (NASDAQ:LJPC)’s President, CEO and Secretary, George Tidmarsh, has also purchased 5,000 shares on September 18 taking his total holding to 1.415 million shares, which is worth approximately $13.09 million.
One-Year Insider Trading
There were only three insider trading activities before the latest one in the last three month-period. Importantly, all the transactions were in relation to purchasing of 24,381 shares, Nasdaq data indicated. There was no selling from the insiders in the last three month-period.
Similarly, the picture was no different for the 52-week period. All the seven transactions of insider trading activities belonged to acquisition of shares only. Excluding the latest purchase, there were buying activities of 47,381 shares in the last one-year period.
Though the number of shares purchased was not significant, the fact that the insiders were ready to buy the shares indicate that there were very little chances of a big downside risk. However, it does not mean that the stock has upside potential rewards in the near-term.
