News blog

Sigma Capital Group

• BY: Andrew Hore |
• POSTED: 29/11/2013 |

Sir Tom Hunter’s West Coast Capital has further reduced its stake in Sigma Capital following the sharp rise in the share price after the announcement of a residential property joint venture with Gatehouse Bank to develop up to 6,600 new rental homes.

West Coast Capital nearly halved its shareholding in Sigma to 10.95% during October, although it subsequently bought more shares to take the stake back up to 12.7%. This stake has been cut to 6.19%.

Sigma directors Graeme Hogg and Bill MacLeod bought 116,000 shares and 166,000 shares respectively. They paid 30p a share.

The joint venture will develop an initial 2,000 homes, which will have a total development cost of £200m, and the total cost for all the 6,600 planned homes will be around £700m.

The share price has fallen by 5.25p to 32.5p which is half the previous day’s increase. Sigma is valued at £14.9m. Long-term shareholder West Coast Capital increased the stake in 2011 when Sigma acquired Inpartnership by issuing shares at 16p each.

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