Under Armour's CEO to sell up to 72 million dollars in shares

Los Angeles - Under Armour Inc.’s chief executive officer Kevin Plank is about to make a big move. He just announced that he plans to sell over 2.1 million shares of the sportswear company, resulting in over 72 million dollars as of Friday.

Plank founded the athletic wear company in 1996, and brought it to success over the years through building the business. Recently, his plan to sell a massive amount of share stunned investors. As a result, this led to shares falling for the company. According to Business of Fashion, the shares fell approximately 2.7 percent to 38.66 dollars. Before this announcement, shares were already down 4.5 percent this year through Thursday.

Plank plans to sell up to 2.1 million shares in his stock trading plan, which is valued at nearly 72 million dollars as of this past Friday. This plan will start in October and last for nine months. He will still have 32 million Class C shares if the deal goes through. As reported by Bloomberg, he can personally sell as many as 1.9 million Class C shares and his charitable foundation can sell an additional 200,000 shares. Although he is selling a lot of his stock, because of his shares he will still be able to maintain a decent amount of control over the company and its voting rights. How this will fundamentally affect Under Armour’s business in the long run remains to be seen, especially since Plank was typically seen as the reason for the company’s success.