John Kinghorn has finally called it quits with RHG, selling his stake in the company for $44 million.
The Rams founder sold 35.4 million shares on Tuesday for $1.28 each.
While the buyer of Kinghorn's shares remains a mystery, Citigroup did manage to boost its stake in the company from 5 per cent to 6.5 per cent.
Last July, rumours circulated that RHG was eyeing a potential market re-entry after posting a significant jump in profits.
RHG revised its profit guidance to between $86 and $96 million – up from $65 to $75 million after it received a contingent income tax benefit of $21.2 million from the Taxation Office.
But despite the profit surge, RHG remained quiet on speculation that it would return to mortgage lending.
A spokesperson for RHG told The Adviser in 2010 that the company would “consider its options in the future”.
