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Stephen van Coller in EOH share buying spree

The counter has shed more than two-thirds of its value in the past 12 months.
CEO of EOH Stephen van Coller. Picture: Moneyweb

Newly appointed EOH Holdings CEO Stephen van Coller is snapping up the JSE-listed IT services group’s shares, a regulatory filing on Monday shows.

Between October 9 and October 12, Van Coller, who joined EOH from MTN Group, bought 250 000 shares worth a combined R8.3 million.

The share purchases come less than two weeks after EOH reported full-year results in which the group plunged into a loss of R104 million, from a profit of R1.2 billion in 2017.

Van Coller’s investment is likely to signal not only to the market that he is bullish about EOH’s prospects but also that the share — which has plunged in the past 18 months — may have bottomed.

The group reported a sharp decline in normalised headline earnings per share in the year to end-July 2018. Normalised Heps fell 41% to R4.67, while the group reported a diluted loss per share of 68c.

It was a year in which EOH came under unprecedented scrutiny over its business practices (especially in respect of government contracts), shed a controversial acquisition, appointed Van Coller as CEO, split the group into two new operating subsidiaries and concluded a new black economic empowerment deal.

EOH was trading at R31.84 shortly after 11am in Johannesburg on Monday, down 1.4% on the session. The counter has shed more than two-thirds of its value in the past 12 months.  — (c) 2018 NewsCentral Media

This article was originally published on TechCentral here

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Eish – those Deutsche Bank and Absa Bank rands are working now for him!

Strange how it is a round number of shares. Seems inconsistent with personal investment behaviour. Maybe a sign-on bonus?

I know little of the company , but it is an amazing and brave man to invest R8 m in a company going backward at such a rate, regardless where he gets the funds from . I wish him luck , he may need it .

One senses the the purchase is through one of those company zero-interest rates “loans” that will ultimately come off the pockets of the shareholders.

This seems very fishy. Needs investigating.

EoH needs to be investigated by the necessary authorities. What about the investors who have lost money when the share price collapsed from around 150 – from 1.2 billion to a 100 million loss – doesn’t make sense in 1 year – something is still substantially wrong. This company resembles a state owned enterprise.

End of comments.

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