Why the Splitit (ASX:SPT) share price is surging 10% today

The company’s shares are staging a recovery…

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man pointing up at a rising red line which represents a growing share price

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The Splitit Ltd (ASX: SPT) share price is rebounding strongly after heavily being sold off last month. This comes after the company reported that one of its directors have taken the opportunity to buy some shares.

At the time of writing, Splitit shares are up 10.84% to 46 cents a pop. This means that in a week, its shares have gained almost 25%.

Who bought the shares?

Taking advantage of the Splitit share price weakness, the company’s non-executive director and non-executive chair, Dawn Robertson made a series of purchases.

As such, Ms Robertson picked up 100,000 fully paid ordinary Splitit shares over 3 on-market transactions on 21 September. They are as follows:

  • 33,540 shares acquired at a price of 35.5 cents;
  • 50,000 shares acquired at a price of 35 cents; and
  • 16,460 shares acquired at a price of 34.5 cents.

Following the number of shares added, Ms Robertson’s holdings now consists of a total of 600,000 full paid ordinary Splitit shares. In addition, Ms Robertson also has a number of unlisted options at hand. They include:

  • 500,000 unlisted director options exercisable at 40 cents each on or before 22 January 2022;
  • 70,422 unlisted options exercisable at $1.41 each on or before 11 May 2026; and
  • 70,422 unlisted options exercisable at $1.42 each on or before 11 May 2026.

Interestingly, Ms Robertson holds the most direct shares in the company, with next in line, non-executive director, Thierry Denis (338,462). In terms of options, however, Ms Robertson sits 5th on the ladder.

About the Splitit share price

Over the past 12 months, Splitit shares have sunk almost 70%, with most of these losses coming from 2021.

When zooming out, its shares traded for as little as 20.5 cents when COVID-19 hit in March 2020. But just 5 months later, the company’s shares zipped to a record high of $1.93 on 31 August, before tumbling down again.

Based on today’s price, Splitit presides a market capitalisation of roughly $193.52 million and has 466.32 million shares outstanding.

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Motley Fool contributor Aaron Teboneras owns shares of Splitit Ltd. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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