Disclosure around CEO's share dealings 'Full And Correct', says Igas

14th Nov 2014 17:02

Igas Energy said its previous communication to investors over its chief executive's (CEO) facility with Equities First Holdings represented "full and correct disclosure" under market rules.On 16 January, Igas said that Andrew Austin, the group CEO, had purchased 300,000 shares in the company at a price of 135.38p each, funding the acquisition by entering a loan facility and transferring up to 7.5m shares as security.At the time, Igas said Austin was required to redeem the shares at maturity once the loan was repaid at the end of the three year term.Under the terms of the facility the lender is contractually prohibited from short selling or voting the shares during the term of the loan, as arrangements of such kind are structured as sale and repurchase agreements.Igas said it issued the statement in response to recent movements in response to its share price, which has lost about 21% in the last five days and about 45% in the year to date.On Friday Igas shares closed 0.20% up at 57.61p.