Vitura Health has acknowledged that it broke trading policy rules after its chairman acquired shares during a closed period.
Robert Iervasi was given clearance to buy 344,500 shares by company secretary and chief financial officer, Tom Howitt, after the release of the firm’s half-year financial results on February 26.
But following questions from the Australian Securities Exchange (ASX), Vitura admitted that permission to acquire the shares was given one business day too early, before the closed period had ended.
It said the mistake was an “administrative oversight” and that no disciplinary action would be taken.
Vitura stressed that in addition to the financial results being released to the market ahead of the share purchase, a “cleansing notice” had also been issued which confirmed there was no further market sensitive information to disclose.
Responding to questions from the ASX, Vitura said: “On receipt of the letter [from the ASX] the company identified that… the VIT trading policy defined ‘closed period’ as expiring at the close of trading the business day after the release and not the day that the relevant documents were released.
“Mr Iervasi sought and obtained trading clearance prior to trading. This technical breach of the trading policy was due to an administrative error by the company secretary in confirming clearance 24 hours earlier than prescribed under the trading policy.”
Asked by the ASX if it intended to take disciplinary or remedial action, Vitura said that none would be taken given the half-year results and cleansing notice had been released to the market prior to the shares being acquired.
The company also noted that the shares were acquired for 8.6 cents, 26% above the current share price.
Vitura said it has “reminded all VIT staff of their obligations under the trading policy” and “regrets the trading clearance was inadvertently given earlier than permitted”.
The company added that it believed its trading policy and compliance processes are “adequate” and that the oversight caused “no loss or damage to market integrity”.
