Tesla CEO Elon Musk revealed on Tuesday that he sold another 934,091 shares of the electric vehicle maker, worth about $1.05 billion, bringing his total sales spree this month to nearly $10 billion worth of Tesla stock.
- Advertisement -
Musk – the world’s richest man, worth about $300 billion – made a sale to buy 2.15 million shares by exercising the options associated with his 2012 compensation contract.
Filing with the Securities and Exchange Commission,
The sell-off began when Musk asked his Twitter followers to decide whether he should sell 10 percent of his Tesla holdings.
The Twitter crowd voted in favor of the offloading, but Musk had already started selling shares before the question was asked, and the revelations followed.
He’s still shying away from delivering on his promise to sell 10 percent of this stake, about 7.9 million shares, but the latest sale put him halfway through.
Elon Musk revealed that he sold another 934,091 shares of the electric vehicle maker, worth about $1.05 billion. AP Photo/Matt Rourke, File The sell-off began when Elon Musk asked his Twitter followers to decide whether he should sell 10 percent of his Tesla holdings. Michael Reynolds/EPA-EFE/Shutter - Advertisement -
The sell-off has put some pressure on Tesla’s stock. Musk is, after all, the company’s largest shareholder and any major stake liquidation will drive the stock down.
Tesla’s stock lost more than 1 percent in premarket trading on Wednesday after falling more than 4 percent on Tuesday.
The stock is down nearly 9 percent since Musk’s November 8 Twitter poll. Shares are still up 57 percent since January 1, however, more than double the S&P 500’s gain in the same period.
According to the data, Elon Musk is still shying away from fulfilling his promise to sell 10 percent of this stake, about 7.9 million shares. EPA/Michael Reynolds A Tesla charges at a station in Topeka, Kansas on April 5, 2021. AP Photo/Orlin Wagner, FILE
Musk previously warned that he would sell the stock before the end of the year to cover the tax bill on his 2012 Tesla stock options, which expire next year.
wall street journal
It was reported on Tuesday that Musk faces a $3.5 billion federal tax bill On his options, though, that bill would have been even bigger if Tesla’s stock hadn’t dipped below its all-time high after tweeting its plans to sell.
According to the Journal’s calculations, the stock drop saved Musk nearly half a billion dollars.