interactive.wsj.com
July 12, 2001
Webvan Ex-Chairman
Sold 45 Million Shares
Dow Jones Newswires
FOSTER CITY, Calif. -- Webvan Group Inc. founder and former Chairman
Louis H. Borders sold the bulk of his shares in the online grocery concern a
little more than two weeks before Webvan announced it was going out of
business.
Mr. Borders sold 45 million shares on June 22 for six cents each, or a total
of $2.7 million, according to a Securities and Exchange Commission filing.
After the sale, he was left with 4.2 million shares. At the stock's peak of $34
in November 1999, Mr. Borders's total stake was valued at $1.7 billion.
Monday, Webvan announced it was closing its
business, laying off 2,000 employees and filing
for protection from its creditors under Chapter
11 of the U.S. Bankruptcy Code.
Mr. Borders was Webvan's biggest shareholder, but he had had no "direct
affiliation with the operations of the business" for some time, said Webvan
spokesman Bud Grebey. Mr. Borders stepped down as chairman of
Webvan's board in September; he remained a director until February, when
he resigned for what he said were personal reasons. Mr. Borders, who
co-founded the Borders bookstore chain, couldn't be reached for comment.
KJC |
