Sunday, May 19, 2024

Here is the solution to the mystery: How did Musk sell 10 million Tesla shares, but did his stake in the company increase?

Date:

NEW YORK, USA (CNN) – Elon Musk, CEO of Tesla Electric Vehicles, has sold a large stake in the company over the past few weeks, but at the same time holds an additional 465,000 shares. Sales started.

Analysis of the documents provided shows that Musk did not give up his stake in Tesla, despite promising to implement the results of a poll he sent to his followers on Twitter, a social networking site calling for the sale of his 10% stake. And so far the CEO has sold 10.1 million shares, about 7 million shares less than the specified target.

This is because, while Musk sells shares, he also uses the option to buy additional shares, and he does these exercises at an exercise price of $ 6.24 per share, which is much lower than the current Tesla (TSLA) of 1%. ) Stock price.

Following Musk’s opinion poll on Twitter on November 6, Musk used the option to buy 10.7 million Tesla shares, and he would have done so with or without poll results, as his options expire in August 2022. Do not exercise them ..

It is noteworthy that Tesla is preparing to offer additional options to Musk, with its forthcoming financial results pending.

Musk is said to be the world’s richest man, mainly because of his stake in Tesla.

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Nadia Barnett
Nadia Barnett
"Award-winning beer geek. Extreme coffeeaholic. Introvert. Avid travel specialist. Hipster-friendly communicator."

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