Tesla Inc.’s CEO sold about 1.2 million additional shares of his company during Friday’s trading, bringing his total stock sales during this week’s five sessions to about $ 6.9 billion.
Its sales in the shares of the largest companies of auto world’s electricity companies fell in value during last week’s trading by 15%, which is the largest decline since March 2020.
On Friday, the company’s shares fell 2.8% to $ 1,033.42 on the New York Stock Exchange, according to Bloomberg data.
His sales came last Friday, after he sold 3.6 million shares of Tesla, worth about $ 4 billion, and sold another 934,000 shares for $ 1.1 billion after activating options to get about 2.2 billion. million shares, shortly after taking a Twitter poll as to whether he should have sold his whopping 10% stake in the company.
A communication to the Stock Exchange explained that the reason for the sale of the shares was “only to fulfill the withholding tax obligations for the amount relating to the exercise of the stocks. option”and also showed that the transactions were carried out on the basis of a pre-agreed negotiated plan adopted in mid-September.
The options Musk acquired in 2012 would expire in August.
The exercise of the put option rights results in income taxes, which are usually covered by the immediate sale of part of the newly acquired shares.
It is the billionaire’s first sale since 2016, when he exercised the stocks option and liquidated some of its acquired shares to cover approximately $ 590 million in income taxes.
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