The Aussie Broadband Ltd (ASX: ABB) share price is climbing during Wednesday mid-afternoon. This follows the broadband company's announcement that a number of co-founders and directors have offloaded their shares.
At the time of writing, Aussie Broadband shares are up 3.09% to $5.01.
Director sale of shares
In a statement to the ASX, Aussie Broadband revealed a number of its co-founders and directors, Phillip Britt, John Reisinger and Patrick Greene, have each sold a portion of their shares.
Executive director and managing director Britt dispensed 2 million Aussie Broadband shares through an on-market trade at $4.95 apiece.
Britt still has almost 16 million ordinary Aussie Broadband shares, along with approximately 1.17 million options.
In addition, executive director and chief technology officer Reisinger also sold 2 million Aussie Broadband shares via an on-market trade at $4.95.
He has around 15.95 million ordinary Aussie Broadband shares and roughly 282,000 options.
Both transactions equate to a value of $9.9 million and represent 11.1% of Britt's and Reisinger's shareholdings.
Lastly, non-executive director Greene offloaded a slightly lower number of shares compared to the other two directors. He sold about 1.91 million Aussie Broadband shares through an on-market trade at $4.95, which is 15.7% of his holdings.
Following the divestment, Greene owns 10.24 million ordinary Aussie Broadband shares.
The reason given for each of the directors selling their shares was to "fund tax and personal obligations".
All of the shares sold were acquired by Australian institutional investors.
Aussie Broadband share price snapshot
Over the past 12 months, the Aussie Broadband share price has surged almost 80%, with year-to-date gains above 6%.
The company's share price has been moving along an upwards trajectory since 2020.
Aussie Broadband has a price-to-earnings (P/E) ratio of 46.82 and commands a market capitalisation of roughly $1.12 billion.
