Virgin Galactic Shares Fall as Chairman Chamath Palihapitiya Sells Stake

Shares of Virgin Galactic (NYSE: SPCE) are down premarket on Friday after it’s Chairman, Chamath Palihapitiya, who took the company public in a SPAC deal, sold his remaining stake in the firm.

A securities filing disclosed Palihapitiya sold approximately 6.2 million Virgin Galactic shares earlier in the week, worth around $213 million.

In December, he also sold around 3.8 million shares, saying they were sold to help manage his liquidity as he funds several new projects starting in 2021.

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The Virgin Galactic chairman still indirectly owns about 15.8 million shares in the firm via Social Capital Hedosophia Holdings, a SPAC company he formed.

Virgin Galactic’s share price has fallen over 7.2% premarket to $28.10 following the news, after closing Thursday’s session down 5.4% at $30.30 per share.