Uber’s new CEO, Dara Khosrowshahi, likely comes with a hefty price tag that could top $US200 million thanks to unvested stock options from his previous gig.
In order to fill the months-old leadership void at Uber after former CEO Travis Kalanick’s resignation in June, the former Expedia CEO will forfeit his unvested stock, which was worth $US184.4 million as of Friday’s close, according to Bloomberg.
Companies traditionally give new executives cash to make up for lost stock in situations like this. Uber’s buyout of those unvested shares, in addition to his annual salary and any stock awards from Uber, could push that total to over the $US200 million threshold.
In 2016, Khosrowshahi took home $US2.4 million in salary and bonus compensation from Expedia, and owned another $US35.4 million worth of stock options, according to Bloomberg.
As a private company, Uber doesn’t have to divulge any pay information about its employees, but a few hints have leaked in the past months thanks to a lawsuit with Alphabet. Court documents show that Uber awarded 5.31 million shares, worth roughly $US250 million, to Anthony Levandowski, a self-driving car engineer the company poached from Alphabet last year.
Uber also released a snapshot of its financials to the news site Axios last week. In addition to shrinking losses, they showed Uber had $US6.6 billion in cash at the end of the second quarter, down from $US7.2 billion at the end of the first quarter.
The news of Khosrowshahi’s departure from Expedia sent the company’s stock down as much as 5.4%.