SEL: Google Shareholders Will Sell Less Shares Due to New Lower Price

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August 18, 2004

Google Shareholders Will Sell Less Shares Due to New Lower Price

CBS Marketwatch has more info on the reduced Google IPO share price. Looks like existing shareholders are not as willing to sell at the new lower range of $85-$95 per share.

In a statement on its Web site overnight, Google said it expects to sell 14.14 million shares in the offering as originally filed, but that the selling shareholders are reducing the shares they expect to dispose of to approximately 5.5 million shares "in view of this new price range."

The change represents a decrease of 6.1 million shares. Google founders Larry Page and Sergey Brin will now sell nearly 500,000 shares each, down from about 1 million each.

CEO Eric Schmidt will sell 369,000 shares, down from 738,000.

Venture firms Kleiner Perkins and Sequoia Capital trimmed their share of the IPO to zero, from about 2 million shares each.

I guess it's a sign of faith that two of the VC companies are now not selling any of their Google holdings. They must think the stock is underpriced at the new range. Does that mean they will buy more?

Andy Beal | permalink | +marktd |

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