Yes, he Kan

It was only a few weeks ago that colleague Shaun Harris punted technology group Mustek [JSE:MST] as a BUY in our Portfolio Punts section. So it was heartening to see Mustek’s prime mover and CE – David Kan – forking out R3m to snap up shares on the open market at prices between 462c and 471c. Kan, most readers will know, called off plans for a management buyout at Mustek – purportedly because of complications stemming from the suspension of Section 45 of the Income Tax Act.

The offer was pitched at 555c/share, which probably explains why Kan wasted no time taking advantage of the lull in the share price.

As Harris pointed out, Mustek is a fundamentally good business and Kan has already made a decent enough turn on his latest buys, with the price approaching to 500c/share level. It probably won’t be wise to bet against Kan making further grabs in future – although he won’t be active in the weeks ahead, as Mustek is in a closed period. However, it’s interesting to note Mustek has resolved to repurchase its ordinary shares until the release of its results.

Some other interesting deals this week saw Remgro [JSE:REM] COO Jannie Durand – who many believe is being groomed as the next CEO of the Stellenbosch-based investment conglomerate – buying R5,5m worth of shares on behalf of a family trust.

Long-serving executive Piet Beyers sold R5,8m Remgro shares on the same day.

Small cap enthusiasts will probably find some inspiration from shipping magnate Ivan Clark spending on recovery stock Chemspec as well as directors – including prime mover Bernard Swanepoel – dipping into junior mining conglomerate Village.