Shares of Virgin Galactic (NYSE:SPCE) stock are getting crushed to start the day on Friday after Chairman Chamath Palihapitiya sold his personal stake in the company this week.
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Overall, Palihapitiya sold 6.2 million shares of SPCE stock for an average price of $34.32 per share. However, he still “indirectly owns about 15.8 million shares through Social Capital Hedosophia Holdings — the special purpose acquisition company that he formed with investor Ian Osborne.” That said, this equals about a 6.5% stake remaining for Palihapitiya.
Moreover, this isn’t the first time in recent memory that he sold a large amount of SPCE stock shares. In fact, according to filings with the U.S. Securities and Exchanges Commission (SEC), Palihapitiya sold around $100 million worth of shares in December.
With all of that in mind, MarketWatch reported that Virgin Galactic will make a statement shortly. When and if that occurs, we will update this article to include those comments.
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SPCE stock was down 13.9% as of Friday morning.
On the date of publication, Nick Clarkson did not have (either directly or indirectly) any positions in the securities mentioned in this article.
Nick Clarkson is a web editor at InvestorPlace.
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