Home > Breaking News > BREAKING NEWS: Kogan Sells Down, Flogs $45M In Shares

BREAKING NEWS: Kogan Sells Down, Flogs $45M In Shares

After knocking back an offer for $100 million worth of shares last week, Ruslan Kogan and fellow director, David Shafer, have today sold 6 million shares for around $45 million. The news follows a 13% slump in Kogan.com, following last week’s aborted share sale.

In an ASX statement, Kogan.com Limited has advised both individuals “reluctantly accepted” an “unsolicited bid”, due to “personal financial commitments”.

The announcement has resulted in a 2.8% slump in Kogan.com shares to $7.63.

By comparison, on June 4th shares were trading at $9.80.

Both directors affirm they remain “fully committed to the business” and continue to retain the “vast majority of their personal wealth” invested in Kogan.com.

ChannelNews understands Ruslan Kogan recently paid around $38 million for a 2,600 square metre mansion in Toorak,  with payments due soon on this property.

Despite being one of the worst performers on the ASX today, the Motley Fool has continued to recommend buying Kogan.com shares, affirming the directors “still have a vested interest” in the organisation.

In early trade today, the e-commerce company’s shares were down by as much as 10% to $7.02.

They have since recovered much of this decline – down around 3% at the time of writing.

The company has faced heavy media attention in recent days, after reports revealed Canaccord Genuity, Macquarie Group and UBS were looking to sell ~10% of the company’s shares on behalf of Kogan and Shafer.

Responding to such reports, Kogan.com emphasised parties “did not receive a bid that was acceptable to them” and “no transactions occurred.”

Today that has all changed, with Kogan and Shafer both offloading shares this morning.

Details are limited at this point, and it’s unclear the exact total price paid.

One Motley Fool analyst asserts “on this occasion…and due to the significant amount of personal wealth the directors have tied up in the company, both have interests firmly aligned with shareholders”.

“As a result, I would consider buying shares with a long-term view on this weakness.”

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