Neteller growth pays off

Published on Saturday 21 June 2008 15:19

THE online payments industry is growing fast and Neteller claims to be one of the best placed to take advantage.

Shares in the company, the world's largest independent money transfer business used by individuals and retailers, soared on a strong trading update last month.

It reported that April fee revenues were up by 15% on the previous month and that efforts to broaden its product range were paying dividends.

Shares rose to a year high of 73p after the update but have since fallen to around 60p. Last week three directors increased their stakes, suggesting they believe the fall is temporary.

President and chief executive Ron Martin bought 50,000 shares to bring his holding to 60,000. Chairman Dale Johnson bought 16,000 shares to increase his holding to 25,000.

Non-executive director Don Lindsay bought his first stake in the company with the purchase of 20,000 shares. All were bought for around 60p each.

Lord Sheppard, non-executive chairman of recruitment and human resources business OneClickHR, has upped his holding in the company despite a recent rise in its share price. He bought 250,000 shares at 4.35p each and now holds 4.5 million.

&#149 Sir Neville Simms, chairman of generator International Power, has taken his first stake in the company since disposing of his previous holding ahead of changes to capital gains tax.

He bought 75,000 shares for 415p each. In March he had sold 178,220 shares in the company at 409.4p ahead of the end of the taper relief rules.

&#149 Aubrey Adams, chairman at air charter company Air Partner, has bought 7,500 shares at an average of 810p. Last month the company said it was trading in line with expectations.

&#149 Alan Gibbins, a non-executive director of BlueBay Asset Management, bought 10,000 shares at 270p following a profits warning.

&#149 David Ross, chairman of National Express Group, bought 1,020 shares at 871p each to top up his already substantial stake of more than three million.