Jack Ma, the founder and executive chair of Alibaba Group Holding, and Joe Tsai, a co-founder and vice chairman, will sell their stocks that could be worth up to USD5.5 billion to give the proceeds to charity.
Ma will offer up to 21.4 million stocks within 12 months from this April, and Tsai a maximum of 9.2 million by the end of this year to fulfil their commitments to charitable causes, Chinese online news outlet Sina reported yesterday. The report did not say where the money will go.
The pair set up a charitable trust focusing on the environment, healthcare, and education before the Hangzhou-based firm went public in 2014, and gave it 2 percent of the outstanding shares. The donation is now worth over CNY60 billion (USD8.9 billion) based on the company’s market capitalization.
Ma, who has a net worth of USD39 billion, announced last September that he will step down as board chairman and be replaced by Chief Executive Danial Zang in one year to devote himself to education and charity.
Alibaba’s stock price [NYSE: BABA] closed 0.19 percent down yesterday to USD180.36.