Zoom’s CEO Simply Gave Away $6 Billion Price of His Shares
A company spokesman said the decision was part of Eric Yuan and his wife’s estate plan.
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March 10, 2021 2 min read
This article was translated using AI technologies from our Spanish edition. Errors can occur due to this process.
Eric Yuan, the CEO and founder of Zoom, a video calling platform, recently transferred approximately 40% of his shares to anonymous people.
The shares allocated by the executive had a total value of $ 6 billion at the close of trading on Friday, March 5 (approximately 126,190,800 Mexican pesos as of March 10, 2021).
This information was made public through a government document that did not include the name of the recipient.
According to the Wall Street Journal, the transaction was registered as two gifts of nearly 9 million shares each to unspecified recipients and by two trusts, of which Yuan and his wife are co-trustees.
According to the news, the video conferencing company’s shares rose 10.03% on Tuesday, March 9, to $ 342.11 each on NASDAQ.
The Chinese-born businessman founded the company in 2011. In a statement, a platform spokesman said the decision was part of Yuan and his wife’s estate plan.
The video communications company reported $ 882.5 million in the fourth quarter of 2020, compared to an estimate by some analysts of $ 811.8 million.
Image: Grace Rivera
Prior to this share deal, Yuan was Zoom’s largest shareholder, holding 15% of the company’s value and around 40% of the company’s voting rights.