Barrick Gold Corp.'s John Thornton, Peter Munk and two board members have bought more shares of the Canadian gold company as the miner trades at multiyear lows.
Mr. Thornton, who became chairman in April, bought a total of 415,000 shares at $12.01 (U.S.) last week, according to Canadian regulatory filings. The purchases were made under his name, as well as his wife's and three children, according to the filings. Mr. Thornton and his family now own more than one million shares of Barrick.
The company disclosed on Tuesday that Barrick's founder Mr. Munk bought 405,000 shares last week at an average price of $12.35.
Two Barrick directors also took advantage of Barrick's low stock price, which is trading at levels not seen since the early 1990s. Brett Harvey, the miner's lead independent director, and Steven Shapiro acquired stock when the company was trading below $12 a share.
Barrick's stock has been pummelled as the company has overhauled operations to deal with the drop in gold prices. It has been a painful few years for the company. It has suspended one of its key gold projects, sold assets and raised equity to bring down its hefty debt load and overhauled its executive compensation plans, as well as its management team.
Despite a healthier balance sheet, Barrick has continued to trade at decade lows. (It closed at $12.06 in New York on Tuesday.)
"We believe the stock is undervalued and this is a reflection of Mr. Thornton's confidence in management's ability to unlock that value for our shareholders. Clearly Mr. Munk also recognizes the potential in the stock and we are pleased to have his support," Barrick spokesman Andy Lloyd said in an e-mail.
Their purchases come after other Barrick insiders have loaded up on the company's shares.
In November, Kelvin Dushnisky, Barrick's co-president, Kevin Thomson, the company's executive in charge of "strategic matters," and Ammar Al-Joundi, the miner's outgoing chief financial officer, bought shares.