BlackRock buys and sells Forge

BLACKROCK Group, the world’s largest asset manager, acquired a substantial holding in troubled mining services provider Forge Group – before selling out most of it at the end of last week.

Kristie Batten

Forge had been queried by the Australian Securities Exchange for a run in its shares, which included a near-55% gain in just one day on December 30.

The company couldn’t explain the rise but it was revealed in an initial substantial holder notice released on Friday that, as at December 31, BlackRock had become a 5.3% shareholder in Forge.

The notice revealed the New York-based fund had been buying Forge shares steadily since September, with prices paid ranging from $A5.87 on the first buy to just 48c last month.

However, in a ceasing to be a substantial holder notice released to the market this morning, it emerged that on January 2, BlackRock sold 1.3 million shares on market at $1.75 per share.

That would leave the fund with a miniscule stake in the mining services firm.

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