The co-founders of Google, Larry Page and Sergey Brin, have announced plans to loosen their grip over the company by selling-off 5 million shares each under five-year stock trading plans.
Mr. Page and Mr. Brin, who met at the Stanford University in the US in 1995, will be selling 10 million shares for a total amount of £3.4 billion ($5.5 billion).
The sell-off will be done at the ongoing share prices and will be done in such a way that the stability of the shares of company is not disturbed in any way.
Google, the world’s largest search engine, said in filling submitted to the US Securities and Exchange Commission that “These pre-arranged stock trading plans were adopted in order to allow Larry and Sergey to sell a portion of their Google stock over time as part of their respective long-term strategies for individual asset diversification and liquidity.”
After the stock trading process is completed, the duo, which earlier held a voting stake of 59 percent, will enjoy 48 percent voting rights under the new share sell-out scheme.
On the other hand, their combined holding of the company will be reduced from 18 percent to 15 percent. In November 2004, Larry Page and Sergey Brin were 11th spot in Forbes list of 400 richest Americans.
The sale of Google shares caused (or coincided with) a massive fall in Google's share prices, down by more than six percent since last week. Google though was not alone to fall heavily with the likes of Apple losing a significant five percent and Microsoft shedding 3.5 percent.