Coupang CEO sells 15 million shares after earnings disappoint

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Coupang CEO sells 15 million shares after earnings disappoint

Published: 07 Nov. 2024, 15:38 Updated: 07 Nov. 2024, 19:11

KIM JU-YEON
kim.juyeon2@joongang.co.kr

Coupang founder and CEO Bom Kim [COUPANG]

Bom Kim, founder and CEO of Coupang, will sell an estimated 500 billion won ($356.3 million) worth of his Class A shares in the online retailer.

Kim will begin unloading 15 million shares on the New York Stock Exchange (NYSE) next week for an estimated $24 per share, based on the latest closing price and dollar-won exchange rate of 1,400 won, the firm said Wednesday (U.S. time). The sell-off will be Kim's first since Coupang listed on the NYSE in March 2021.

Of the 15 million shares, Kim plans to donate 2 million and use the rest for financial purposes, including tax payments, the company said.

The planned transactions represent less than 10 percent of the 174.8 million Class B shares that Kim still holds. Kim owns an estimated 9.77 percent, or 174.8 million, of Coupang's 1.789 billion outstanding shares.

Kim will not have discretion over the exact number of shares sold under the prearranged stock trading plan. He will not engage in further share transactions through the end of 2025.

Coupang posted a quarterly high revenue of $7.87 billion for the third quarter on Wednesday, but its retail sales fell behind analyst expectations, leading to its stock price to fall as much as 8.7 percent during off-exchange trading.

BY KIM JU-YEON, YONHAP [kim.juyeon2@joongang.co.kr]