Google will be awarding outgoing CEO Eric Schmidt a $100 million equity package as he prepares to make way for Google co-founder Larry Page.
This is the first time that Google has awarded Schmidt with a equity package of this size since he joined the company as chairman of the board.
A Google filing with the US Securities and Exchange Commission reveals that Schmidt will be selling 5.8 per cent of his Google stock valued at $326.7 million, based on current share price. Schmidt owns a total of 9.2 million Google shares and is only selling 534,000.
“The pre-arranged trading plan was adopted in order to allow Eric to sell a portion of his Google stock as part of his long-term strategy for individual asset diversification and liquidity,” the company said in the regulatory filing.
Page will succeed Schmidt as CEO in April.