Mobile // Mobile Applications
01:42 PM
The Analytics Job and Salary Outlook for 2016
Jan 28, 2016
With data science and big data top-of-mind for all types of organizations, hiring analytics profes ...Read More>>

Google Founders To Sell 10 Million Shares

The stock sale will be executed over a period of five years and will result in Sergey Brin and Larry Page giving up their majority voting rights.

Google co-founders Sergey Brin and Larry Page plan to sell 5 million shares of Google stock each in a pre-arranged stock selling program that will drop their voting rights to less than 50% for the first time.

Announced Friday in an SEC filing, the stock sales -- over a five-year period -- would amount to about $2.75 billion each based on Friday's closing stock price of $550. Google stock traded as high as $629 before the announcement. After selling the total of 10 million shares, Brin and Page would hold a combined 47.7 million shares in the search colossus.

"These pre-arranged stock trading plans were adopted in order to allow Larry and Sergey to sell a portion of their Google stock over time as part of their respective long-term strategies for individual asset diversification and liquidity," Google stated in the SEC filing. "Because these plans were established well in advance of a trade, they also help avoid concerns about whether these officers had material, non-public information when they made a decision to sell their stock."

The two founders currently hold about 18% of Google stock. That percentage would be trimmed to about 15% after they sell the 10 million shares. According to their stockholder voting plans, however, they will have 48% voting control over Google. While that number drops their voting power below the 50% market, the firm's chief executive Eric Schmidt holds 10% so the top managing triumvirate would still control the firm well into the future.

All three executives have said they will remain at the company to 2014.

Comment  | 
Print  | 
More Insights
Building A Mobile Business Mindset
Building A Mobile Business Mindset
Among 688 respondents, 46% have deployed mobile apps, with an additional 24% planning to in the next year. Soon all apps will look like mobile apps and it's past time for those with no plans to get cracking.
Register for InformationWeek Newsletters
White Papers
Current Issue
How to Knock Down Barriers to Effective Risk Management
Risk management today is a hodgepodge of systems, siloed approaches, and poor data collection practices. That isn't how it should be.
Twitter Feed
InformationWeek Radio
Sponsored Live Streaming Video
Everything You've Been Told About Mobility Is Wrong
Attend this video symposium with Sean Wisdom, Global Director of Mobility Solutions, and learn about how you can harness powerful new products to mobilize your business potential.