Uber Founder has Sold off $2.1 Billion worth of His Ownership Stake Since Nov. 6
The Uber Technologies Inc. co-founder, Travis Kalanick, sold another $350 million worth of stock in December bringing his proceeds to more than $2.1 billion since the hold on his stock ended Nov. 6. Shares of Uber rose 5.5% to $30.05 after the Wall Street Journal reported that the firm was in talks to sell its Uber Eats business in India.
The 43-year-old’s remaining stake now constitutes about a 20% of his $3-billion fortune, according to the Bloomberg Billionaires Index, down from about 75% before the lockup. Co-founder Garrett Camp also sold about $35 million of shares, a fraction of his $2.1-billion holding. Another insider is taking the opposite approach. Chief Executive Dara Khosrowshahi bought about $7 million worth of shares on Nov. 18.
Uber has fallen about 33% since its IPO as investors question its path to profitability amid regulatory challenges and controversies. Uber faces problems related to sexual assault and a fatal crash involving a self-driving car in Arizona. Additionally, new California law is about to give more gig economy workers the right to a minimum wage
The company has appealed a U.K. regulator’s decision last month revoking its license in London, starting what could be a years-long fight to protect its biggest European market.