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- Chamath Palihapitiya rescued his personal stake in Virgin Galactic this week.
- The president of the space tourism group sold 6.2 million shares for about $ 211 million.
- Palihapitiya still indirectly owns 15.8 million shares in Richard Branson’s startup.
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Billionaire investor Chamath Palihapitiya sold all of his personal stake in Virgin Galactic this week, a regulatory document revealed on Friday.
The president of the space tourism company took out his 6.2 million shares at an average price of $ 35, earning him about $ 211 million. Palihapitiya, together with its business partner Ian Osborne, still indirectly owns 15.8 million shares through SCH Sponsor Corp, its investment vehicle.
“I sold 6 million shares for $ 200 million that I am planning to redirect on a major investment I am making to combat climate change,” said Palihapitiya in an emailed statement to Insider.
“The details of this investment will be released in the coming months. I remain as always dedicated to Virgin Galactic’s team, mission and perspectives,” added the founder and CEO of Social Capital.
Palihapitiya previously sold 3.8 million Virgin Galactic shares in December, tweeting that he needed to free up money to finance several new projects this year.
The space startup of Virgin Group founder Richard Branson went public in October 2019 when it merged with Osborne’s Palihapitiya and Social Capital Hedosophia, a special purpose acquisition vehicle or SPAC.
Palihapitiya is leading the current SPAC boom, using the vehicles to bring companies like Opendoor and Clover Health to the public in billions of dollar valuations.
Virgin Galactic’s stock price more than doubled in the first five weeks of this year, but has fallen by more than 50% since then. Its shares fell by 17% on Friday.
Here is a chart showing Virgin Galactic’s stock price last year:
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