The WiseTech Global Ltd (ASX: WTC) share price will be on watch on Tuesday after the logistics solutions company revealed some heavy insider selling.
What did WiseTech Global announce?
This morning WiseTech advised that it has been informed that its founder and CEO, Richard White, has been selling shares on market this month.
According to the release, Mr White has sold a total of 2,445,653 shares over the last few trading days. This represents approximately 0.76% of the total issued capital of WiseTech Global.
The chief executive first offloaded 206,439 shares through on market trades between 22 June and 26 June for an average of $22.02 per share. This works out to be a total consideration of $4,545,786.78.
Mr White then sold a total of 2,245,925 shares (inclusive of indirectly held shares) through an off-market trade on Monday 29 June. These shares were sold at an average of $18.40 per share, which represents a total consideration of $41,325,020.
In total that's $45,870,806.78 worth of share sales by the chief executive. No reason was given for the sales.
Does the CEO have any shares left?
Despite this sizeable sale of shares, Richard White continues to have voting control over approximately 151 million WiseTech Global shares. This represents approximately 46.9% of the issued capital of WiseTech Global.
The company advises that Mr White has confirmed his commitment to WiseTech Global and his intention to remain a significant shareholder for the very long-term.
What now?
While insider selling rarely goes down well with the market, I wouldn't be overly concerned with this one.
Firstly, Mr White still has a very large holding, which means his interests are firmly aligned with shareholders.
Secondly, this certainly isn't a case of an insider selling because a share price has been rocketing higher. The latter sale of shares ($18.40 per share), comes at a 52.5% discount to WiseTech's 52-week high.
