Shares of “ECO” tanker vessel company Top Ships (NASDAQ:TOPS) spiked higher during Thursday trading after the company announced the purchase of shares by its CEO and new shareholder-friendly measures.
Its stock price had been trading around the $1.05 level before the rise saw it jump as high as $1.57. It is currently trading 27.59% higher at $1.48.
The company said in its announcement that a company affiliated with its Chief Executive Officer, Evangelos Pistiolis, purchased 100,000 common shares of the company in the open market.
Mr Pistiolis commented, “I believe that the current trading price of our common shares does not reflect the intrinsic value of the Company, as evidenced by my purchase today of 100,000 common shares in the open market, and that the actions we have taken today will benefit all shareholders.”
The company also announced some shareholder-friendly measures, saying that it will not conduct any public or private equity offerings or any reverse stock splits, no bonuses will be paid to executive management and the CEO and his affiliates won’t sell any shares.
TOPS also said that: “It will enter into a standstill agreement with Family Trading Inc., the holder of all of the Company’s outstanding Series E Preferred Shares and a company affiliated with its CEO, pursuant to which Family Trading will agree not to convert any of its Series E Preferred Shares into common shares, other than in connection with a change of control of the Company.”
The company said they hope these measures will enhance its trading stability during the next year.