Bill Ackman, an early Coupang investor, is donating his stake of more than $ 1 billion to charity
Bill Ackman, Founder and CEO of Pershing Square Capital Management.
Cameron Costa | CNBC
Billionaire investor Bill Ackman said Monday he donated his entire stake in Coupang – valued at more than $ 1 billion – to charity after the South Korean e-commerce company went public last week.
Ackman, who runs hedge fund Pershing Square Capital Management, invested his personal money as an early promoter of Coupang, first reported to CNBC on the company’s NYSE debut last Thursday.
Coupang, often referred to as the Amazon in South Korea, saw nearly double its equity portion on its first day of trading before closing more than 40% higher. The stock rose roughly 5% to $ 51 on Monday, valuing Ackmans gifted 26.5 million shares at more than $ 1.3 billion.
In a tweet on Monday, Ackman said he was a “day-one investor” in Coupang, which was founded in 2010 by CEO Bom Kim. Ackman said the Seoul-based company’s “incredible success” will now “benefit humanity.”
Ackman said the money – the breakdown of which has not been disclosed – will go to three nonprofits, including his own Pershing Square Foundation.
According to its website, the PSF has provided over $ 400 million in grants and social investments in a number of areas including health and medicine, education, economic development and social justice.
Ackman did not identify the other two companies that received his Coupang shares by name, simply calling them “DAF” or donor-advised funds and “another not-for-profit” organization.
“Thanks to Bom and the Coupang team on behalf of all of us!” Ackman wrote too.
Coupang raised $ 4.6 billion in its initial public offering last week, the largest so far this year in the US. The company was ranked 2nd on CNBC’s Disruptor 50 list last year.