Business & Economy
Elon Musk sells more of his Tesla shares
Tesla CEO, Elon Musk has sold another 934,090 units of shares in his electric car and solar business, according to financial filings recently published.
However, Musk still has more than a million more shares to sell to reach his 10% November target of around 17 million shares.
He also exercised the compensation option granted to him in 2012 to buy $1.6 million Tesla shares at a stake price of $6.24 per share. This has made his holdings in Tesla to increase from about $170.5 million shares to over 177 million shares.
If we recall In the first week of November, the CEO asked his millions of Twitter followers if he should sell 10% of his stake in Tesla, and most voted “Yes”. Under the Corporate Insiders rules, CEOs can trade their own equity so long as they declare in advance how and when they intend to trade to prevent themselves from accusations of insider trading.
This year, Tesla shares has risen more than 54% making Musk the richest person in the world. All of his wealth is derived from ownership stakes in his companies as he doesn’t take a salary or cash bonuses.
The billionaire is expected to pay what is likely to be the largest single individual tax bill in U.S. history, with federal and California income taxes estimated to top $11 billion. He will be required to pay this tax bill in order to receive compensation of more than $23 billion, in the form of stock options that would otherwise expire in August 2022.
