Uber founder and former CEO Travis Kalanick is apparently on selling spree as he has sold over half his stake in the company. Kalanick has sold shares worth USD 1.46 billion this month after lockup ended up on November 6. He sold around USD 578 million in just three days this week. The latest sale came on Thursday when he sold around 7 million shared for USD 29.31 each, a total of USD 208 million. More disposals may be coming as there are signals that he could offload his entire stake. The ride-hailing company went public in May and this end of the lockup will allow the company’s executives and to sell their stocks. After this series of selling, Kalanick now holds just 44.8 million shares which just under 3 percent of Uber. A representative for Kalanick refused to respond when approached for comment on the development. Kalanick had left Uber in mid-2017 amid major reshuffle.
He sold his shares amid continuous fall in prices of Uber shares. The IPO price of Uber was USD 49 but it has now come down to USD 29.50. The company reported a loss of USD 1 billion on sales of USD 3.8 billion in third-quarter. With the sale of these shares, Kalanick will have more cash in hand which he can use to fuel his new venture Cloud Kitchens. According to reports, he had already invested over USD 300 in the business. Cloud Kitchens creates delivery-only restaurant kitchens in urban centers. Earlier in August, Kalanick purchased a USD 36.5 million penthouse in New York City. Forbes now estimates that he
While on one hand, Kalanick has been busy selling his shares, Dara Khosrowshahi, Uber’s current CEO, has been spending a lot of money to buy shares. On November 18, he purchased an additional 250,000 shares for USD 6.7 million. With this, the total number of shares owned by Uber has risen to 1.5 million – less than a 1 percent stake.