Deliveroo’s stock is down 7.6 per cent after founder Will Shu had to sell off £47m of shares to pay a tax liability.
Both Shu and the company’s chief financial officer Adam Miller have sold stock to settle a tax bill arising from vested shares, with Miller shedding close to £2m of Class A stock. As part of the conditions attached to the stock Shu and Miller were required to sell off shares to settle tax liabilities, however both will be rewarded with additional company shares.
In a statement, Deliveroo explained that “if the Proposed Transaction completes, neither Will Shu nor Adam Miller will retain any net proceeds as a result of the Proposed Transaction.”
The company added that the transaction had been sped up by way of an accelerated bookbuilding process led by Goldman Sachs International.
Following the sell off Shu received additional Class B shares worth over £62m whilst Miller gained £2.3m of Class A stock.
Despite bumper sales during lockdown Deliveroo has faced a turbulent year with its London IPO considered a flop. While the company raised £1.5bn the highly anticipated March floatation saw the company’s value drop by over 25 per cent in a single day.
Deliveroo’s share price has today tumbled by 7.64 per cent to stand at 267p per share.