Mark Zuckerberg’s baby announcement may be the first to require regulatory oversight.
In a lengthy note posted to Facebook on Tuesday, Zuckerberg announced the birth of his daughter Max and his ambitious plan of “advancing human potential” that will be fueled by most of his stake in the company.
In his note, Zuckerberg said he and wife Priscilla Chan would give “99% of our Facebook shares — currently about $45 billion — during our lives to advance” the mission of a new entity called the Chan Zuckerberg Initiative. That passage potentially involves 424 million shares of Facebook stock.
Exactly what the Chan Zuckerberg Initiative would do besides initially focusing on “personalized learning, curing disease, connecting people and building strong communities” isn’t yet known, but investors at least have a sense of what’s happening to the Facebook CEO’s stock.
The company told the SEC that Zuckerberg will sell or gift “no more than $1 billion of Facebook stock each year for the next three years.” He also plans to retain his majority voting position “for the foreseeable future.”
Here’s the full 8-K filing with the SEC:
“On December 1, 2015, our Founder, Chairman and CEO, Mark Zuckerberg, announced that, during his lifetime, he will gift or otherwise direct substantially all of his shares of Facebook stock, or the net after-tax proceeds from sales of such shares, to further the mission of advancing human potential and promoting equality by means of philanthropic, public advocacy, and other activities for the public good.
For this purpose, Mr. Zuckerberg has established a new entity, the Chan Zuckerberg Initiative, LLC, and he will control the voting and disposition of any shares held by such entity. He has informed us that he plans to sell or gift no more than $1 billion of Facebook stock each year for the next three years and that he intends to retain his majority voting position in our stock for the foreseeable future.
Any sale of shares by Mr. Zuckerberg will be conducted pursuant to a trading plan established pursuant to Rule 10b5-1 under the Securities Exchange Act of 1934, as amended (the “Exchange Act”). Sales and gifts of shares by Mr. Zuckerberg will be disclosed publicly in accordance with the rules established by the U.S. Securities and Exchange Commission under Section 16 of the Exchange Act. As of the date of this filing, Mr. Zuckerberg beneficially owns approximately 4 million shares of Class A common stock and approximately 419 million shares of Class B common stock.”
from Business Insider http://ift.tt/1NmgEPJ