The CEO of this year’s hottest tech IPO got $235 million richer in just 3 weeks
Twilio has been one of the hottest stocks in the market since going public late last month.
After pricing its initial public offering at $15 per share, Twilio stock has nearly tripled to close at $42.25 per share on Wednesday — a record high.
That’s a huge stamp of approval by the public market, which been lukewarm on tech stocks over the past few months.
But for Twilio CEO Jeff Lawson, that means he’s now about $235 million richer.
That’s because he owns 8,635,492 shares of the company, and at Wednesday’s closing price, his net share holding would be worth $364.8 million — up more than $235 million from the $129.5 million his shares were worth at Twilio’s IPO three weeks ago.
That doesn’t mean Lawson can enjoy his additional wealth just yet. He’s likely under a lock-up period that prevents him from liquidating his shares.
Also, the massive price increase means that Twilio left money on the table when it offered because it could have set its IPO price higher than $15, potentially raising more money from investors.
Twilio makes cloud communications tools for software developers. Apps like Uber and Airbnb use Twilio’s technology to enable calls and text messages between customers and drivers or hosts.