Earlier this month, Michael Rapino, the CEO at Live Nation Entertainment (LYV), sold 640,000 shares of the Beverly Hills, California-based company.
Investors did not like the news, sending the company’s shares down almost 5% on Wednesday. That marked the company’s largest share price decline in more than a year. Live Nation shares have risen more than 80% since the beginning of the year, Bloomberg noted.
A spokesperson for Live Nation said that Rappino sold the shares for about $11.7 million as part of an estate-planning strategy. Rappino currently holds about 1 million shares in the entertainment company. He also has options to acquire another 3 million shares.
Other Live Nation executives have also recently sold some shares, according to regulatory filings.
Live Nation shares slipped another 2% in Thursday morning trading.