Insiders Cashing Out? The Metals Company Development Officer Reduces Stakes Amid 450% Rally

The Trade That’s Raising Eyebrows

Anthony O’Sullivan, Chief Development Officer at The Metals Company (TMC), just offloaded a chunky 100,000 shares across two sessions in late November and early December 2025. The math: roughly $664,000 at an average price of $6.64 per share. After the sale, his direct holdings dropped to 2,025,667 shares worth approximately $15 million.

Here’s the thing—TMC stock exploded 450% throughout 2025. So when a top executive starts selling, the natural question pops up: Is he bailing, or just trimming profits?

Breaking Down the Numbers

The Transaction Details:

• Shares divested: 100,000 (direct ownership)
• Total proceeds: ~$664,000
• Execution dates: Nov. 28 & Dec. 2, 2025
• Average price per share: $6.64
• Remaining direct position: 2,025,667 shares

This 100,000-share liquidation represents a 4.49% reduction in O’Sullivan’s direct stake. Worth noting: this aligns with his typical transaction size historically, suggesting this wasn’t a panic dump but rather a planned, routine divestment.

Price Context: O’Sullivan executed these sales at $6.64 per share when the market was trading between $6.77 (open) and $7.40 (close) on the last trading day. A slight haircut to market price, but nothing dramatic.

O’Sullivan’s Full 2025 Activity—More Nuanced Than It Looks

The insider trading story gets more interesting when you zoom out. O’Sullivan wasn’t just active with direct shares—he orchestrated a more complex portfolio shuffle in 2025:

H1 2025: He held 335,000 shares indirectly through JOZEM Pty. Limited (his private vehicle). Across three separate transactions through mid-year, including one on June 20, he liquidated his entire indirect position. Translation: He completely unwound his offshore holdings.

September 2025: TMC awarded O’Sullivan 1 million direct shares on Sept. 23. That’s a significant grant—a vote of confidence from the board, or perhaps a way to keep him motivated and aligned with long-term value creation.

Q4 2025: The November-December sales we discussed above.

The pattern suggests O’Sullivan is consolidating his stake into direct ownership while strategically trimming position size. Not exactly the move of someone panicking about the company’s future.

What TMC Actually Does (And Why It Matters)

The Metals Company extracts polymetallic nodules from the Clarion Clipperton Zone in the Pacific Ocean. These rocks contain nickel, cobalt, copper, and manganese—essential metals for EV batteries, renewable energy storage, and steel production.

The Business Model:

• Exploration-stage company with extraction rights
• Target customers: EV makers, renewable energy providers, steel manufacturers
• Revenue model: Not yet (still pre-commercialization)
• The pitch: Fill the supply gap for critical minerals as the world electrifies

The Current Situation:

• Workforce: Lean 47 employees
• Profitability: Negative. Q3 2025 net loss exceeded $184 million—more than double the previous quarter
• Funding: Still seeking capital to commercialize operations
• Stock performance: +450% YTD (through Dec. 2, 2025)

Should Investors Worry About O’Sullivan’s Selling?

The Counter-Argument (Why This Isn’t a Red Flag):

1. O’Sullivan’s sale size is consistent with his historical median for cash-outs
2. He still owns over 2 million shares directly—significant skin in the game
3. The 1 million share grant in September suggests management believes in the company
4. The diversification from indirect to direct holdings looks more like portfolio optimization than an exit strategy
5. He was the only insider filing Form 4s in Q4 2025, meaning board-level activity was minimal elsewhere

The Reality Check (What Concerns Remain):

1. TMC isn’t profitable and is burning cash rapidly
2. The company depends on future capital raises to advance commercial operations
3. Deep-sea mining remains regulatory-adjacent—approval timelines are uncertain
4. The 450% stock rally has likely priced in significant optimism already
5. Executive selling during a bull run, even if moderate, historically precedes weakness

The Bottom Line for Investors

O’Sullivan’s activity pattern suggests a calculated approach to wealth management rather than a crisis exit. He’s consolidating stakes, accepting 1 million new shares from the company, and selling at a measured pace that’s consistent with his track record.

However, TMC is a pre-revenue exploration play with substantial cash burn. The stock’s 450% gain is impressive, but it’s built on speculative demand for clean-energy minerals, regulatory approval, and capital availability. O’Sullivan’s measured selling could simply mean he’s taking chips off the table on a wildly outperforming position—which is what successful insiders typically do.

Watch TMC’s Q4 2025 earnings (expected March 2026) for concrete updates on funding progress and commercialization timelines. That’s where the real story will emerge.