SIA, Osim buy back shares during stockmarket meltdown on Monday

COMPANIES such as Singapore Airlines (SIA) and OSIM International were among those which bought back some of their own shares as Chinese rout sent stock markets, including Singapore's, tumbling on Monday.

National carrier SIA bought back 630,800 of its own shares in the open market at S$9.68 to S$9.92 each on Monday, coughing up a total of S$6.18 million. On Tuesday, SIA was trading at S$9.97 a share, up 28 cents, or 2.9 per cent at 10.22am.

Ron Sim, founder and chief executive of OSIM, a lifestyle company known for its luxurious massage chairs, spent some S$1.41 million buying back 974,500 OSIM shares. The purchase has boosted Mr Sim's interest in OSIM to 65.84 per cent, from 65.71 per cent. At 10.22am, OSIM was trading around S$1.505 a share, up 5.5 cents, or 3.8 per cent.

Offshore marine services provider Pacific Radiance also entered the market, purchasing 926,000 of its own shares at S$0.295 and S$0.305 each. At 10.22am on Tuesday, Pacific Radiance was trading at S$0.30, down half a cent, or 1.64 per cent.

At 10.22am on Tuesday, the blue-chip Straits Times Index was trading higher at 2,922.56, up 2.8 per cent, or 79.17 points, after closing more than 4 per cent lower on Monday.

According to Bernard Aw, market strategist at IG, buying interest seems to be filtering through across the globe.

"However, the momentum remains firmly on the downside, and a very aggressive one. It's preferable to stay with the trend, and trade accordingly until there is a clear technical signal," Mr Aw warned.