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#Nexam: Major #insider purchase

One day after Nexam Chemical released a rather uneventful Q3 2014 report (as expected), one of its Board members has made a major share purchase. Mr Michael Karlsson bought 42,000 shares, which should have cost him around SEK 800,000. (http://www.nexamchemical.com/Investors/Share-Information/Insiders/)

At Nordic Investor we like when insiders put their money where their mouth is. Obviously, good news are around the corner, otherwise Mr Karlsson would not have bought more shares.

We are eagerly awaiting who the new CEO is and given the fact that he is supposed to start in January 2015, his name should be announced within a few weeks time. More importantly, if Armacell does not want to lose its exclusivity agreement with Nexam, they will either have to start buying the minimum volume before year end, or we will get a new agreement which most likely be more favourable for Nexam.

The future looks bright for Nexam. It might not be a share for the short-term trader but as a long-term investors, the benefits to be reaped could be huge.

Nordic Investor

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