An Executive Director in MTN Nigeria (MTNN) Karl Toriola has just spent a whooping N126.6 million to purchase 769,084 shares in the Telecommunications giant.
Toriola purchased the shares in 17 different transactions for an average price of N164.28 per share, according to a series of filings on the Nigerian Stock Exchange (NSE).
The trades were done on December 31st 2020.
Toriola was probably trying to beat the closed period on MTN Nigeria shares which began today January 4th, 2021. During a closed period, no director, employee, adviser of the Company and their connected persons may directly or indirectly deal in the securities of the Company in any manner.
MTN Nigeria closed period will last till 26th February 2021, after it would have met (a day earlier) to consider and approve the Audited Consolidated Financial Statements for the year ended 31st December 2020.
It is interesting that Toriola is still buying MTNN at these levels given that the stock rallied more than 50 percent last year.
Investors like Toriola with a lot of free cash at their disposal may be buying stocks now to take advantage of upcoming annual dividend payouts from various companies, due in coming months.
MTNN stock is however not cheap right now with a dividend yield of 3.88 percent and P.E Ratio of 17.5x earnings.