logo-loader

Quindell sinks lower as former boss sells more shares

Last updated: 14:31 10 Dec 2014 GMT, First published: 15:31 10 Dec 2014 GMT

share_price_down350_548868053b2a9

Quindell (LON:QPP) shares slumped again as former boss Rob Terry sold another hefty chunk of shares in the troubled insurance outsource group.

The latest sale saw him dispose of 25m shares to raise £11.4mln and slash his stake from 8.73% to 2.99%.

Terry departed the claims outsourcer last month after an outcry over a controversial share sale scheme.

He and two other Quindell directors entered into a share sale and repurchase agreement with US lender Equities First Holdings ostensibly to buy shares in the company.

Terry sold £7.5 mln of shares to the US firm in exchange for cash and the promise he would buy them back in two years’ time, but it emerged later ownership of the shares had passed over to the US firm.

After he left the company, Terry was no longer under an obligation to buy the stock back.

Quindell shares have now fallen more than 90% since their high in April when Gotham City, a short seller-backed US research house, published a scathing report on the company.

Quindell consistently denied the claims and won an uncontested libel action against Gotham City.

This afternoon, it also unveiled contract renewals, which it said, demonstrated its offerings remains attractive to the insurance industry.

Swinton Group, one of the UK's largest insurance brokers, signed a multi-year contract renewal with the firm, while it also inked a contract renewal with Insurethebox - the UK's largest provider of telematics insurance.

Shares in the firm slumped 23% today to 35p.

Caledonia Mining tackles 2023 challenges with optimism for 2024 as it...

Caledonia Mining Corporation PLC (AIM:CMCL, NYSE-A:CMCL) chief executive Mark Learmonth tells Proactive's Stephen Gunnion the company faced a challenging 2023, primarily due to poor production in the first half of the year at its core asset, the Blanket Mine in Zimbabwe, and an underperformance...

23 minutes ago