Putting his money where his mouths is? Five days after playing down the collapse of a $5.47 billion sale agreement of his Radian Group Inc. (NYSE: RDN) to rival MGIC Inc. (NYSE:MTG), Radian Chief Executive Sanford A. Ibrahim - along with non-executive chairman Herbert Wender and some major investment groups - has turned around and bought shares in their mortgage insurer.
Ibrahim personally bought 15,000 shares valued at $256,900. And chairman Wender shelled out about $56,800 for 3,400 shares on that same day. They were the first stock purchases made by Radian insiders in the open market in more than two years, according to InsiderScore.com. Granted, they were not huge amounts. But they were signs of confidence nonetheless at a bad time in the housing market.
And they were not alone. The same day, Third Avenue Management LLC, a New York-based investor, quadrupled its stake in the company. Other big investors, including Canadian mutual fund manager AIC Ltd. and hedge fund manager D.E. Shaw & Co., also have boosted their investments in Radian, according to Bloomberg News.
