Glencore share price rises after chairman Tony Hayward buys more shares
This is either a vote of confidence in the company's prospects, or a baby step towards a surreptitious management buyout – either way, one Glencore exec has decided to increase his stake in the commodities miner and trader today.
Glencore chairman Tony Hayward has hoovered up an additional 100,000 shares at 91p per share, according to a regulatory filing.
Read more: Glencore's situation is reminiscent of Northern Rock's final days
Earlier today, the miner took steps to address recent market panic, assuring investors its business remains "operationally and financially robust". The company was referring to a particularly bearish analyst note which sparked what's since been described as an unprecedented share sell-off.
Analysts at Investec wrote on Monday: "If major commodity prices remain at current levels, our analysis implies that, in the absence of substantial restructuring, nearly all the equity value of both Glencore and Anglo American could evaporate."
Read more: Why there are more "Glencores" ahead
The Investec note sent Glencore's shares down as much as 30 per cent at the market close, while the cost of insuring against holding the company's debt hit an all-time high. Shares in Glencore have since recovered somewhat, trading up 15 per cent at 92.25p this afternoon.