Lanxess AG rose to the highest in almost 11 months in Frankfurt trading as Chief Executive Officer Axel Heitmann bought stock in the German chemical company following its forecast of earnings growth this quarter.
Lanxess rose as much as 4.5 percent to 63.80 euros, the highest intraday price since May 4, and was trading up 3.1 percent at 11:12 a.m. The gain comes on top of an 8.5 percent jump yesterday after Leverkusen-based Lanxess predicted it will report record first-quarter profit.
Heitmann bought stock yesterday at 60.27 euros a share in a 1.33 million-euro ($1.76 million) transaction, Lanxess said today in a statement. The CEO is rebuilding a holding in the maker of synthetic rubber after he sold most of his stock for 9.88 million euros in August. The announcement of that disposal triggered a 5.8 percent drop in Lanxess shares Aug. 26, even after Lanxess said the sale was for “purely private reasons.”
The CEO now holds about 47,000 shares after buying 5,000 last month and a further 22,000 yesterday, Lanxess said today.
Lanxess has gained 57 percent this year, boosting the manufacturer’s market value to 5.2 billion euros.
The German chemical maker, spun off from Bayer AG in 2005, said yesterday that earnings before interest, taxes, depreciation, amortization and one-time items will probably be as much as 350 million euros in the current quarter, a gain of 8.7 percent from a year earlier.