Another £115m wiped off Snap chief Evan Spiegel’s stake in social media group as results send shares tumbling

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Snap founder Evan Spiegel saw another £115m wiped off the value of his stake in the social media group as dismal results sent the stock down.

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Shares fell more than 30 percent on Wall Street after third-quarter losses rose to £324m from £65m a year earlier.

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This reduced the value of a 3 per cent stake held by Spiegel, who is married to Australian model Miranda Kerr, to just £280m.

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Reputation: Evan Spiegel with wife Miranda Kerr

When the shares peaked at $83 just over a year ago, those shares were worth £3bn.

The company that owns the video messaging app Snapchat blamed the poor results on advertising markets, saying companies have cut marketing budgets.

Apple’s privacy concerns have also made it harder for apps to target ads and measure the success of campaigns.

And Snap is struggling with the rapid growth of competitors like TikTok.

The company said on Thursday that revenue rose 6% to £1.01bn in the third quarter, well below expectations.

To counter the downturn, Snap is laying off 20% of its 6,000 employees as part of a major restructuring.

Credit: www.thisismoney.co.uk /

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