CDC Corporation CEO Purchased 332,602 Company Shares since Beginning of Year
CDC Corporation, (NASDAQ: CHINA) focused on enterprise software and online games, announced today that it has repurchased a net amount of approximately 255,517 of its common shares at an average cost basis of (U.S.) $2.38 per share during the third quarter 2008. In addition, the company’s CEO also purchased a net amount of approximately 332,602 common shares at an average cost basis with commission of (U.S.) $3.35 per share since the beginning of the year through a personal 10b5-1 plan.
To date during 2008, the company repurchased a net amount of approximately 517,974 common shares at an average per share price of $2.64 per share. Since the beginning of CDC Corporation’s share repurchase program on May 2, 2006, the company has repurchased approximately 9.6 million shares at an average cost basis of $5.52. In addition, the company has instituted a new corporate buy back 10b5-1 plan that went into effect November 10, 2008.
"Even with the current volatility in the stock market, we continue to believe that our shares are undervalued by the investment community," said Peter Yip, CEO of CDC Corporation. "The Company's repurchase of shares demonstrates our ongoing confidence in the long-term strategy for CDC Corporation and its businesses. Despite the current market conditions, I am still very confident in our company’s long-term success so I personally plan to continue buying shares which I firmly believe are significantly undervalued by the market." Certain company directors and executives, including the CEO, have entered into 10b5-1 trading plans which facilitate the purchase and sale of the company's common shares and allow trading in the company's shares during trading blackout periods through pre-arrangements with a broker, based upon specified guidelines and parameters set forth in the trading plans.
