Billabong CEO Sells Part of Stake; Shares Tumble

Billabong International Ltd. shares fell as much as 14% in Australia after Chief Executive Matthew Perrin sold more than two thirds of his stake in the surfwear maker for about $36 million.

Perrin sold 8 million shares to institutional investors at a 7% discount to Tuesday’s closing price, the company said in a statement to the Australian Stock Exchange. The sale represents 4% of the company’s market value.

Shares of Billabong, whose U.S. operations are based in Irvine, closed down 12% in Sydney.

Perrin retains 5.14 million shares, about 2.6% of Billabong, and doesn’t plan to sell any more shares, the company said.