JPMorgan Chase CEO Jamie Dimon plans to sell about $141 million worth of bank shares. reported Bloomberg, citing regulatory filings. This is the first such deal since Jamie Dimon took over the bank nearly 18 years ago.
Starting next year, Jamie Dimon and his family will sell 1 million shares of the bank for financial diversification and tax planning purposes. JPMorgan shares closed in New York on Thursday, October 26, at $140.76 per share. The total value of the stake that will be offered for sale will be more than $140 million at Thursday’s closing price.
The bank’s chief continues to believe the company’s prospects are very strong and his stake in the company will remain significant, JPMorgan said in a statement. Representative of the company statedthat Dimon has no plans to sell additional shares and that filing with regulators about the planned sale of shares does not signal his imminent resignation. Dimon, 67, has headed the largest US bank since late 2005. Dimon led JPMorgan through the 2008 financial crisis and orchestrated the takeover of First Republic Bank this year after several U.S. regional banks failed.
Shares of JPMorgan Bank fell 2.5% in New York trading to $137.22 per share as of 19:53 Moscow time. They’re up 1.3% this year, compared with a nearly 7% decline in the S&P 500 Financials Index (SPSY), which includes financial sector stocks. JPMorgan JPMorgan Chase’s market value was about $400 billion as of October 27.
JPMorgan’s stock price has risen nearly 250% during Jamie Dimon’s 18-year tenure as CEO, more than 10 times the gain of the S&P 500 Financials index. The purchase of shares made the bank manager a billionaire. In early 2009, Dimon bought 500,000 shares of the bank as a sign of confidence in the business as shares fell. He also bought a large stake in 2016, spending a total of about $38 million across two rounds of purchases.
According to the agency, Jamie Dimon and his family now own about 8.6 million shares of JPMorgan. The planned sale will amount to less than 12% of their assets. The remaining stake is valued at approximately $1.07 billion. According to the Bloomberg Billionaires Index, the JPMorgan CEO’s net worth is about $2 billion.
2023-10-27 17:55:13
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