Michael Lynton, chairman of Snapchat’s parent company, saw the value of his stock holdings in the company decline by more than $13 million Thursday after Snap disappointed investors with its first financial report as a public company.
Lynton — an early investor in the company who was named Snap chairman in September 2016 — owns 2.96 million shares of Snap through various affiliated entities and trusts. Those were worth $68 million as of the closing price Wednesday, before Snap’s stock dropped more than 20% after it posted a mammoth $2.2 billion loss and missed revenue projections for Q1. As of 2 p.m. ET, Snap shares were trading at $18.20, making Lynton’s holdings worth $53.9 million.
At the peak of Snap’s price to date ($29.44 per share), Lynton’s shares were worth $87 million.
Lynton stepped down as head of Sony Pictures Entertainment earlier this year, citing his interest in focusing on Snap. Separately Thursday, Sony announced the appointment of Tony Vinciquerra as chairman and CEO of Sony Pictures Entertainment.
However, Lynton’s stock losses on paper were dwarfed by the hit taken by Snap’s two co-founders, CEO Evan Spiegel and CTO Bobby Murphy, whose holdings have dropped in value by more than $1.1 billion and $970 million, respectively. Part of Snap’s $2.2 billion net loss in Q1 included a $750 million stock award to Spiegel.
Lynton, in addition to serving as Snap’s chairman, is on the board’s compensation committee and its nominating and corporate governance committee. He has served on the Snap board since April 2013.