Nintendo founding family to sell shares worth over $1 billion [UPDATE]

[UPDATE] Nintendo today completed the buyback of 9.5 million shares from the Yamauchi family.

The original story is below.

The family of longtime Nintendo executive Hiroshi Yamauchi, grandson of founder Fusajiro Yamauchi, has informed the company that it plans to sell as many as 9.5 million shares tomorrow as part of a massive buyback worth an estimated $1.1 billion.

Yamauchi died in September 2013. He was 85.

The 9.5 million shares represents around 7.43 percent of outstanding stock, and will be purchased tomorrow in Japan at the stock's closing price of ¥ 12,025 today. The transaction will be made by Nintendo's agent through the Tokyo Stock Exchange.

Yamauchi ran Nintendo for 53 years and gave his stake in the company to his four children following his death, Bloomberg reports. The family said in a statement that they have informed Nintendo of their "desire to sell," but did not say why.

The announcement of the buyback comes after Nintendo announced dismal Wii U sales and downtrodden financial projections last month. The company has since outlined plans regarding how it intends to revitalize its business performance going forward.