Andrew Forrest buys up more FMG shares

The value of FMG shares have fallen by around 48 per cent this year, and Andrew ‘Twiggy’ Forrest stepped in to buy $11 million worth of them last week.

The purchase means Forrest has upped his stake in the company from 33.2% to 33.3% after buying the shares for $2.75 each. 

This isn’t the first time the FMG chairman as bought up shares during rough a patch.

In March Forrest spent $4.9 million to buy around one million shares at an average price of $4.93.

The buy-up came at the same time as investors opted out of the company and on the back of an 8.3 per cent fall in the price of iron ore.

Last week’s round of share grabs comes as iron ore hits a 46 per cent low since the start of the year.

The commodity dropped to $US69.80 a tonne on Friday, a fresh five year low.

It is estimated the fall in FMG share price has cut Forrest’s fortune from $6.2 billion in February to $2.8 billion.

"I didn't count it on the way up and I'm not counting it now," Forrest told Fairfax Media last week.

He said the miner would be able to weather the falling iron ore price.

"Fortescue has showed incredible competitiveness in developing the fastest iron ore construction the Pilbara has ever seen," Forrest said.

"It is now turning that great management fire power to operating costs and you can look forward to Fortescue becoming even more competitive."

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