While Centerra Gold (TSX:CG) CEO Leonard Homeniuk says the reason he sold his shares in the company were for financial reasons, the plunge in gold prices, along with the drop in the stock prices, had to be part of the reason for the sell off as well.
Homeniuk sold 60 percent of his shares in the company, which equaled almost $6.9 million. His reasons stated were for add more diversity to his portfolio, as well as finanicial planning.
The stock shares were sold between March 11 and March 18 for prices ranging from $13.51 to $14.68. The close for the stock price at the end of the week was $12.34.
He was lucky in his timing, as the stock has consistently dropped over the last week, and the 478,700 shares he sold would have been worth a lot less than he got for them.
Even with selling the stocks, Homeniuk says that he believes the shares are still undervalued.
At this time Centerra has two mines in operation, the Kumtor Gold Mine in Kyrgyzstan and Boroo Gold Mine in Mongolia.