Facebook shares closed in the red in the US Thursday, as it emerged CEO Mark Zuckerberg sold almost $500 million worth of stock in February. The proceeds will be used to fund his philanthropic investment, the Chan Zuckerberg Initiative.
Facebook shares closed 1.33% lower at $175.94. The stock is currently lower in after-hours trade, too.
Zuckerberg will sell more shares to fund CZI
The details of the sale, listed in documents filed with the SEC and reported by Reuters, shows that in the final days of February, Zuckerberg sold 685,000 Facebook shares worth a total value of $125.4 million.
Overall, Zuckerberg sold around 2.7 million shares during the month, worth a total a little short of $500 million, according to calculations from the news agency.
The sale comes after the social media CEO shared plans in September 2017, to sell up to 75 million Facebook shares during an 12-18 month period, to fund the CZI he runs with his wife, Pricilla Chan.
“These sales are the next step in a process Mark laid out in September to fund the Chan Zuckerberg Initiative’s work in science, education and issues related to justice and opportunity, the CZI told Reuters. “The funds will go to support a range of CZI’s philanthropic activities and operations for many years to come.”
Eventually, Zuckerberg has said he intends to donate 99% of his Facebook shares to fund the initiative.
The CZI was created by Zuckerberg and his wife in 2015 when their first daughter was born. The charity has already funded initiatives in the US as it continues to “advance human potential and promote equal opportunity.”
“Our initial areas of focus include supporting science through basic biomedical research and education through personalized learning, the CZI About Us page states. “We are also exploring other issues tied to the promotion of equal opportunity including access to affordable housing and criminal justice reform.”