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.
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.
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.
