Carvana 10% Owner Ernest Garcia II Files Form 144 for $682.9M Covered Call Transaction

Executive Summary

On October 30, 2026, Ernest C. Garcia II, a 10% stockholder of Carvana Co. ($CVNA), filed Form 144 notifying an intent to sell up to 10,000,000 shares of Class A Common Stock with an estimated aggregate market value of $682,900,000.00 ($68.29 per share).

Transaction & Structure Details

• Entity: The shares are held through ECG II SPE II, LLC, an entity wholly owned by Ernest C. Garcia II.
• Transaction Mechanism: According to the remarks, the entity entered into covered call option transactions relating to Class A Common Stock with Citigroup Global Markets Inc. (or an affiliate), writing 10,000,000 covered call options over Class A Common Stock and pledging underlying Class B shares and Carvana Group, LLC Class A Units.
• Significance: At 10,000,000 shares (~1.38% of the 722,713,745 outstanding units), this represents a massive monetization/hedging event by the company's major insider and carries High market and sentiment significance.