The MetalsTech Ltd (ASX: MTC) share price is rallying in late morning trade following a positive move by its directors.
At the time of writing, the gold explorer's shares are up 15.38% to 23 cents. In comparison, the All Ordinaries Index (ASX: XAO) is up 0.1% to 7,734 points.
What happened?
According to its release, MetalsTech advised that between 17 August and 20 August, a number of directors bought more shares in the company.
Geosmart Consulting, an entity in which MetalsTech director Dr Qingtao Zeng is also a director, purchased 75,000 shares on-market. This is for a total cash consideration of $15,000. In addition, Dr Zeng picked up another 50,000 shares for $10,000 to add to his own personal holding.
Natres Services, an entity of which MetalsTech chair Russell Moran is a director, bought 228,803 shares on market. The value of this purchase is for a total amount of $44,867.
And lastly, Internatzionale Trust, an entity of which MetalsTech director Gino D'Anna is a director, obtained 40,000 shares on market for $7,830.
No doubt, the latest purchases from each of the directors has transformed into positive sentiment for investors. Traditionally, when a company's owners or directors take part in buying more shares, it is a sign of good things to come.
MetalsTech chair, Russell Moran commented:
MetalsTech is well funded having received $6.7 million in cash from Lithium Royalty Corp in July and drilling is expected to commence imminently at the 1.5Moz Sturec Gold Mine. The company is not in a 'blackout period' under its securities trading policy so the board and its related parties were happy to capitalise on the opportunity to purchase more MTC shares.
About the MetalsTech share price
Over the last 12 months, MetalsTech shares have gained around 7%, with year-to-date up almost 10%. The company's share price hit a 52-week high of 34.5 cents in early June, before treading lower due to profit-taking.
Based on today's price, MetalsTech presides a market capitalisation of roughly $35.7 million, with 158 million shares on its registry.
