Grab execs buy back shares after stock hits 3-year low on Atome deal
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Grab shares have tumbled 50 per cent over the past year and fell to US$2.74 on Sept 18, the lowest level since May 2023.
PHOTO: LIANHE ZAOBAO FILE
- Grab executives bought over US$30 million in shares after the company’s stock hit a three-year low following the Atome Financial acquisition announcement.
- Shares fell 50% over the past year, dropping to US$2.74 after news of the US$4.5 billion buy-now-pay-later deal and a US$900 million share buyback plan.
- CEO Anthony Tan expressed confidence in the company’s strategy, stating, “I have put my money where my mouth is,” after his personal share purchase.
AI generated
SINGAPORE – Top executives of Grab bought more than US$30 million (S$38.4 million) worth of company shares this week after the Singapore-based ride hailing and financial service firm’s stock slumped to a more than three-year low following a deal to acquire a buy-now-pay-later provider.
Grab shares have tumbled 50 per cent over the past year and fell to US$2.74 on Sept 18, the lowest level since May 2023.
The drop came days after the company announced that it would acquire buy-now-pay-later provider Atome Financial in a deal that could ultimately value the target at up to US$4.5 billion.
Along with the deal, Grab also said it planned to buy back around US$900 million worth of shares over the next 12 months, but the announcements on Sept 15 failed to boost its shares.
On Sept 21, Grab chief executive Anthony Tan purchased shares worth US$30 million, with president Alex Hungate also snapping up around US$867,000 worth of shares, according to filings to the US Securities and Exchange Commission.
After the purchase, Grab shares closed up 8.9 per cent on Sept 22.
At a company town-hall meeting on Sept 22, Tan said, “I have put my money where my mouth is... I believe in our strategy and our direction.” REUTERS