On day two after its 1-for-4 reverse split, Saga Communications on Friday traded back above its effective pre-split price, despite a generally down market for media stocks. That may have been due in part to yet another stock purchase reported to the SEC by Daniel Tisch.
The son of one-time CBS owner Larry Tisch had been buying Saga stock before the reverse split and had acquired a stake of over 1.5 million shares. And he didn’t stop buying. Tisch bought 2,505 shares on Thursday at an average price of $3.95. Since the reverse split reduced the number of shares by 75%, Tisch now owns 392,500 shares. At least, that’s how many he owned as of the end of trading on Thursday. As previously noted, Saga CEO Ed Christian owns all of the company’s super-voting Class B shares, so this is not a takeover play by Tisch.
Even though almost all broadcasting stocks were down on Friday, Saga was a gainer. It ended the day up 48 cents, or 12.2%, at $4.41. The reverse-split was a success.