comscore Elon Musk’s Tesla share sales pass the $10 billion mark | Honolulu Star-Advertiser
Top News

Elon Musk’s Tesla share sales pass the $10 billion mark

  • BRITTA PEDERSEN/POOL VIA ASSOCIATED PRESS
                                SpaceX owner and Tesla CEO Elon Musk arrived on the red carpet for the Axel Springer media award, in Berlin, Germany, in December 2020. Musk’s offloading of Tesla Inc. shares surpassed the $10 billion mark as he sold stock in the electric-car maker for the fourth consecutive week.

    BRITTA PEDERSEN/POOL VIA ASSOCIATED PRESS

    SpaceX owner and Tesla CEO Elon Musk arrived on the red carpet for the Axel Springer media award, in Berlin, Germany, in December 2020. Musk’s offloading of Tesla Inc. shares surpassed the $10 billion mark as he sold stock in the electric-car maker for the fourth consecutive week.

Elon Musk’s offloading of Tesla Inc. shares surpassed the $10 billion mark as he sold stock in the electric-car maker for the fourth consecutive week.

In the latest transactions, the world’s richest person got rid of more than 934,000 shares worth about $1.01 billion, according to regulatory filings dated Thursday. The purpose of the sales was to help Musk offset taxes on the exercise of about 2.1 million options.

The latest disposals bring the total shares sold to 10.1 million — worth about $10.9 billion — since Musk asked Twitter users on Nov. 6 whether he should offload 10% of his Tesla stake. It’s unclear whether the poll had any actual bearing on Musk’s plans. The chief executive officer said months earlier he was likely to exercise a big block of stock options toward the end of the year, and he set up a trading plan to sell shares before his tweet.

To sell 10% of his stake, Musk will need to part with some 17 million shares, or about 1.7% of the company’s outstanding stock. If his exercisable options are factored in, he’ll need to offload even more.

If Musk follows through on selling 10% of his Tesla holding, he could end up shaving well over $2 billion off his tax bill as a result of his move to Texas from California last year, according to calculations by Bloomberg News. The Golden State is home to the nation’s highest income taxes on the wealthy, while Texas has no state income tax or capital-gains tax on individuals.

Tesla shares traded 0.6% higher as of 4:45 a.m. New York time today, before the start of regular trading. The carmaker announced earlier this week that its headquarters had officially moved to the factory it’s been building in Austin, Texas. Musk announced the company would move its home base out of California in October.

With a $284.1 billion fortune, Musk is richer than anyone else in the world, according to the Bloomberg Billionaires Index. His wealth has surged by $128.1 billion this year as Tesla shares have soared 54%.

Comments (1)

By participating in online discussions you acknowledge that you have agreed to the Terms of Service. An insightful discussion of ideas and viewpoints is encouraged, but comments must be civil and in good taste, with no personal attacks. If your comments are inappropriate, you may be banned from posting. Report comments if you believe they do not follow our guidelines.

Having trouble with comments? Learn more here.

Click here to see our full coverage of the coronavirus outbreak. Submit your coronavirus news tip.

Be the first to know
Get web push notifications from Star-Advertiser when the next breaking story happens — it's FREE! You just need a supported web browser.
Subscribe for this feature

Scroll Up