Insider buying slowed down to a trickle over the last two weeks leaving us with very few candidates for the weekly focus article. Following the big decline in one of our portfolio companies, Glu Mobile (GLUU), I decided to write a weekly focus article providing an update about this mobile gaming company instead of highlighting a new opportunity. Just as I started working on the article, I noticed amongst the purchases last night that Hany Nada, a co-founder and managing partner of GGV Capital purchased $9.9 million worth of shares this week. As mentioned in our prior weekly focus article about Glu Mobile, GGV Capital was one of the original venture capital investors in Glu Mobile. To get a general overview of the app store ecosystem and Glu Mobile, you can check out our two part report about the company here and here.
Over the last two years, I have seen both GGV Capital and another fund Becker Drapkin Partners sell shares in the $5 range and pick them back up when the stock pulled back to the $3 level. Becker Drapkin Partners is a Dallas based activist firm that tends to invest in small cap companies. In our prior article we made the case that there were three potential catalysts that could propel Glu Mobile higher.