More than €36 million worth of shares in utility National Toll Roads (NTR) were traded this week as director, Mr John Gallagher, left the company while its chairman boosted his stake.
NTR said yesterday that Mr Gallagher sold his holding of 988,356 shares, or 4.1 per cent, for €23.7 million.
At the same time, its chairman, Mr Tom Roche, bought more than 1.5 million units in the toll roads operator for €36.1 million. The purchase brought his holding in NTR to 43.2 per cent from 36.4 per cent. Both transactions took place over the past three days.
An NTR statement said that the board had also accepted the resignation of Mr Gallagher as a director of the company.
A spokeswoman said that Mr Gallagher was interested in pursuing other interests. However, sources said last night that the businessman believed that the offer price of €24 per share represented "very good" value on his holding.
Over the past three months, he has cashed in his 7.7 per cent stake in NTR for €38.7 million. Last November, he sold 850,000 NTR shares for €15 million, reducing his stake to 4.1 per cent.
He acquired the 7.7 per cent holding when he sold his waste management business, Greenstar, to NTR for €47 million in 2001.
It is understood that the 4.1 per cent stake that Mr Gallagher sold this week was included in the 1.5 million shares that Mr Roche bought.
The company was not in a position last night to say who sold the other 600,000-plus units to the chairman.
The shares were traded between the individuals who made the transactions. None of the three stockbroking firms which normally deal in the units was involved.
NTR is not listed on any stock exchange and its shares are traded in the grey market. As it is not listed, the buyers and sellers of its stock did not have to go through the brokers.
IAWS Co-op has spent close to €100 million building up a 20 per cent holding in the company since the beginning of this month.
There was speculation yesterday that Mr Roche's purchase was designed to anticipate any attempted takeover of NTR. He and the other management control over 50 per cent of the group.
NTR operates toll roads, a waste management business and is bidding for a number of major motorway projects.
