Roblox CEO Just Got $3 Billion Richer
The head of Roblox Corp. made a lot of money from the company's direct listing.
Roblox Corp. CEO David Baszucki's own net worth is projected to rise by $3 billion on Wednesday thanks to his company going public. Yahoo Finance estimates that Baszucki made $3 billion thanks to the direct listing, which is in addition to the "hundreds of millions" he might have made by selling Roblox Corp. shares to third-parties in the lead-up to the direct listing this week.
Baszucki put about half of his 12% stake in Roblox in the Baszucki Family Office in California, which he registered in 2020.
The executive could get even richer, as Baszucki will get 11.5 million more Roblox shares if the company is able to reach long-term share price targets. A filing also mentions that Baszucki will not draw a salary or receive any equity-based compensation as Roblox's CEO until 2027. It's also stated that the executive will make charitable donations from his windfall.
Roblox Corp. as a company is expecting to continue to grow in the future, but the company--like many others--is expected to have a more challenging year to come. That's because gaming saw massive spikes during the height of the pandemic as people stayed home and played more games and spent more money on them. With the vaccine becoming more widely available and case numbers dropping, companies that benefitted from the pandemic may begin to see their results fall back to down Earth.
In fact, Roblox CFO Michael Guthrie acknowledged that the company expects its rate of growth to be "well below" the numbers for 2020 as restrictions ease.
Roblox, which is trading as RBLX, started at $45 and is up by more than 12% at press time to around $72.
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