Bill Beament’s Northern Star Resources (NST) is buoyed by the Australian dollar and soaring prices. The volatility of the share price is a cause of great concern for market insiders and investors. When NST’s share price declines, we foresee Beament to have already dumped his shares in a bullish market.
Beament offloads his shares, reducing his holding over 70%
Bill Beament’s substantial amount of transactions in the past two years unsettle insiders and shareholders. Here’s an overview of his massive insider sales:
- On December 2017, Northern Star Resources Ltd (ASX:NST) insider Bill Beament sold A$5,938,231 worth of shares of Northern Star stock for an average price of A$5.938 each.
- The same day Tribune Resources (TBR) and Rand Mining (RND) rejected Northern Star’s bid for their 49% stake in the East Kundana Joint Venture, Beament sold approximately A$9.1 million worth of shares at a price of A$9.08 per share.
- Bill Beament made an insider share sale on March 2019 and sold his 2,460,000 shares of the Perth-gold miner’s stock at an average price of A$9.01 per share – a total of A$22,164,600.
- On June 6, 2019, Beament has reduced his holding in the gold mining company by selling 976,002 shares for an average price of A$9.90 each – a total transaction of A$9,662,419.80.
Market observers saw more selling of NST shares than buying from insiders, with NST’s Executive Chairman as the major inside seller. With Beament’s insider knowledge, he has been selling into a rising market with unsustainable market capitalisations.
Share price of Beament’s Northern Star takes a tumble
Based on NST’s ASX chart, Bill Beament’s Northern Star’s share price declined 8% and traded at A$11.41 following the announcement of its full-year results and takeover bid for Echo Resources (ASX:EAR) on 27 August 2019. These results factor in the downturn of NST’s share price.
Despite receiving a total remuneration of $3,175,970 in FY2019, Bill Beament continues to offload his holding from Northern Star. Did Beament forecast a substantive decline in Northern Star Resources?
It looks like Mr Beament is not there when the share price nosedives. He will most likely be diversifying to his ‘other’ ventures, indulging in his questionable recreational activities.
As Beament continues to sell-down more of his shares from Northern Star Resources and deserts his role as the gold miner’s Executive Chairman, investors will be quick to offload their NST holdings.