There were a number of interesting gainers on Wednesday, led by a Chinese company after company insiders purchased shares in the open market.
New Energy Systems Group (OTC:NEWN) jumped 19% after insiders bought shares of stock on the open market. New Energy Systems Group announced that the company's senior management team has purchased approximately $300,000 of stock of the company to date with personal funds.
On April 1, the company's senior management team (including its chairman, CEO and CFO) announced their intentions to purchase approximately $1 million of the company's common stock in the open market. Through July 13, Junfeng Chen, CFO, has purchased approximately $100,000 of stock at an average price of $3.39 per share.
Midway Gold Corporation (NYSEMKT:MDW) climbed 10% on volume 3x average after reporting deposits in its Spring Valley Project in Nevada. Highlights include metallic screen assays with gold intercepts of 166 meters of 1.48 grams per tonne (gpt) gold, including 23 meters of 2.15 gpt gold in SV10-510, and 218 meters of 2.7 gpt gold including 41 meters of 12.3 gpt in SV10-511c.\
The 2011 drilling program commenced in early April, and two RC rigs and one core rig are currently operating. The 2011 drill plan is focused on expanding the resource and evaluating property acquired near the end of 2010 south of the current resource area. In addition to drilling, cultural and biological surveys, hydrogeologic studies and trace element analyses are underway to support future permit applications.
Gulf Resources (NASDAQ:GURE) rose 8% after the company reaffirmed its corporate structure and the chairman’s intention to maintain his ownership of stock. Ming Yang and his family will hold shares of the company for the next three years and confirmed that Gulf Resources maintains 100% ownership of its two PRC subsidiaries, Shouguang City Haoyuan Chemical and Shouguang Yuxin Chemical Industry. The company's chairman, Mr. Yang and his family together own 13,391,453 shares, which is approximately 38.7% of the company's total outstanding shares of common stock. In a letter to shareholders, Yang and his family have declared that they are very confident in the company's future and will not pledge or sell any of their shares in the next three years.
The company further added that its corporate structure remains linear and unchanged since February 2007 and the company maintains full control over its operating subsidiaries.
Titanium Metals Corporation (TIE) rallied 7% after the company and Boeing (NYSE:BA) extended a supply agreement through December 31, 2018. The supply agreement, together with joint technology development agreements, will continue to provide for, among other things, mutual annual purchase and supply commitments, the extension of the global titanium scrap recycling program and the utilization of the TIMET Global Service Center Network, and cooperative efforts on development of new titanium alloy and process capabilities.
OpenText (NASDAQ:OTEX) rose 6% on volume more than 2x average after the company agreed to acquire Global 360 Holding, a provider of process and case management solutions. The acquisition continues OpenText's expansion into the fast growing business process management market, adding to its technology, talent, services, partner and geographical strengths, as well as giving the company important new capabilities in dynamic case management. The transaction purchase price is approximately $260 million, subject to customary purchase price and holdback adjustments. Global 360 has generated approximately $90 million in trailing twelve months revenue and is profitable. The transaction has closed in the first quarter of fiscal 2012 and is not part of the fiscal 2011 fourth quarter and year-end results of OpenText. The management team of OpenText will provide further information regarding the future plans of the combined company when it provides fiscal year-end results on August 10.
Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.