Kogan.com founders Ruslan Kogan and David Shafer have "reluctantly" sold off tens of millions of dollars in shares in the online electronics retailer.
The company said in a statement that the founders had received an unsolicited bid for 6 million shares in Kogan.com, which they reluctantly accepted due to "personal financial commitments".
The price tag for the shares was not disclosed, though the Australian Financial Review said they were sold by UBS Wealth Management for $7 each, which would value the shares at $42 million. The buyer's identity was also kept secret, though the company is required to disclose this information to the ASX within two days.
Kogan's statement also noted that Kogan and Shafer would not deal any more shares until at least September this year.
"Mr Kogan and Mr Shafer remain fully committed to the business and continue to have the vast majority of their personal wealth invested in Kogan.com," the company said.
The selloff resulted in Kogan's share price taking a hit, dropping from $7.87 each at the end of trading on Tuesday to $7.37 at the time of writing.
Kogan reported revenue growth of 46.1 percent in its third fiscal quarter ending 31 March, but share price began dropping soon after the announcement by 17 percent to $7.63 each.
The two founders attempted to sell off a portion of their shares last week as well, but ultimately advised that they did not receive a bid they deemed acceptable. Kogan's share price took another hit after the announcement, dropping more than 12 cents.