The chairman of Dunloe Ewart plc, Mr Noel Smyth, told the insider dealing trial he knew of no reason for Dunloe to disclose price sensitive information to the stock exchange between February 1997 and June 1997.
Responding to Mr Paul Gallagher SC, for the defendant, Mr Philip Byrne, Mr Smyth said Dunloe had made a public announcement on February 19th, 1997, because of a rise in its share price.
The announcement said talks were underway regarding acquisitions but that it was too early to say if the talks would lead to a successful conclusion. It also said substantial funding would be needed as would shareholder approval.
In June a formal approach was made to Dunloe regarding the proposed deal. On June 5th the company sought a suspension of its shares on the Stock Exchange and issued a statement.
Mr Smyth agreed with Mr Gallagher that a listed company must "immediately" announce price sensitive information once it is received. He said he did not believe there was any need to make any such announcement between February 19th, 1997 and June 5th, 1997.
