Canada Nickel Company Inc V.CNC

Insider Restrictions

[caramba71]

With some insider buying going on I was wondering about the impact on releasing significant news shortly. I googled around to find some information about how much time needs to be between buying/selling shares and the release of material information - but no luck. I couldn't find any details around this and it appears (Canadian) insider trading law is complex.

Does anyone know?

[PCGuy10]

The short answer is they are not allowed to trade if they are privy to information that will affect the share price (up or down). The only exception would be an automatic share purchase plan (coming off their pay). That has to stay as is. They can't trade until the information is public.

[apapas1973]

That's a good valid question caramba, but not sure its easy to answer. The SEC and OSC i believe would most likely investigate if the company in question receives a takeover offer shortly after management purchases shares. And even then they would have to prove the directors were aware of the incoming offer. In other cases of material news such as good drill results for example, or MOU in our

[caramba71]

Thanks apapas and pcguy...  Looks like I wasn't wrong in my thinking that this is a grey area. E.g. if they bought last week and assays with great results are being released this/next week it could raise some questions. Google wasn't very helpful in finding out whether there is a time limit or not. The only time limit I came across was related to the time between buying/selling and

[PCGuy10]

It's not a question of if the assays are going to be released next week they are not allowed to buy. At this stage they don't know what is in those assays, but they have effectivly told us that it's as good as or better than Craword. That information is alreay disclosed so it's not an issue.   What is not allowed is for them to trade once they recieve the assays and before