Chinese online game developer The9 (NASDAQ:NCTY) says that between April 22 and April 28, its chairman and CEO, Jun Zhu, purchased 200,000 of the company's American depositary shares on the open market, and he intends to purchase as much as $5 million worth of the stock in total. He is also a co-founder of the company.
The9 has 24.46 million shares outstanding, suggesting Zhu bought just under 1% of the company's stock with the latest purchase. The total anticipated stock purchase would be approximately 7.5% of the total outstanding shares.
According to an SEC filing from earlier this month, the number of ordinary shares beneficially owned by Jun Zhu is 7.2 million, equaling about 25%.
Between April 22 and April 28, The9's stock traded between a low of $2.41 on April 22 and a high of $2.88 on April 25. It closed Friday at $2.70.
The9 develops and operates its proprietary online game FireFall, as well as other online games, Web games, and social games. It has also obtained exclusive licenses to operate other games in mainland China.