Facebook CEO Mark Zuckerberg and his wife Dr. Priscilla Chan announced the birth of their child and also pledged to donate 99% of their Facebook stock.
Zuckerberg’s wife, Priscilla Chan, gave birth last week to a baby girl. The couple didn’t put out the news until Zuckerberg posted it Tuesday on – of course – Facebook.
Zuckerberg’s plan to donate 99% of his Facebook stock
In a lengthy note on Facebook, Zuckerberg said he would be giving away the stock over the course of his lifetime:
‘Today your mother and I are committing to spend our lives doing our small part to help solve these challenges. I will continue to serve as Facebook’s CEO for many, many years to come, but these issues are too important to wait until you or we are older to begin this work. By starting at a young age, we hope to see compounding benefits throughout our lives.’
‘As you begin the next generation of the Chan Zuckerberg family, we also begin the Chan Zuckerberg Initiative to join people across the world to advance human potential and promote equality for all children in the next generation. Our initial areas of focus will be personalized learning, curing disease, connecting people and building strong communities.’
‘We will give 99% of our Facebook shares — currently about $45 billion — during our lives to advance this mission. We know this is a small contribution compared to all the resources and talents of those already working on these issues. But we want to do what we can, working alongside many others.’
‘We’ll share more details in the coming months once we settle into our new family rhythm and return from our maternity and paternity leaves. We understand you’ll have many questions about why and how we’re doing this.’
In the same post, Zuckerberg said he and Chan will commit 99% of their Facebook stock to such causes as fighting disease, improving education, harnessing clean energy, reducing poverty and promoting equal rights.
The estimated value of those shares is roughly $45 billion.
‘On December 1, 2015, our Founder, Chairman and CEO, Mark Zuckerberg, announced that, during his lifetime, he will gift or otherwise direct substantially all of his shares of Facebook stock, or the net after-tax proceeds from sales of such shares, to further the mission of advancing human potential and promoting equality by means of philanthropic, public advocacy, and other activities for the public good. For this purpose, Mr. Zuckerberg has established a new entity, the Chan Zuckerberg Initiative, LLC, and he will control the voting and disposition of any shares held by such entity. He has informed us that he plans to sell or gift no more than $1 billion of Facebook stock each year for the next three years and that he intends to retain his majority voting position in our stock for the foreseeable future. Any sale of shares by Mr. Zuckerberg will be conducted pursuant to a trading plan established pursuant to Rule 10b5-1 under the Securities Exchange Act of 1934, as amended (the “Exchange Act”). Sales and gifts of shares by Mr. Zuckerberg will be disclosed publicly in accordance with the rules established by the U.S. Securities and Exchange Commission under Section 16 of the Exchange Act. As of the date of this filing, Mr. Zuckerberg beneficially owns approximately 4 million shares of Class A common stock and approximately 419 million shares of Class B common stock.’
They are forming a new organization, called the Chan Zuckerberg Initiative, to pursue those goals.