Elon Musk Sells More Tesla Stock as Valuation Dips Below $1 Trillion
(Bloomberg) -- Elon Musk made more headway toward his pledge to sell 10% of his Tesla Inc. stake, and it may have cost the carmaker its $1 trillion valuation.
The world’s richest person offloaded another 934,091 shares on Monday for about $906.5 million to cover taxes on the exercise of 2.1 million more options, according to regulatory filings. He has now sold a total of $12.7 billion worth of stock over five weeks.
The latest transactions coincided with Tesla closing below $1 trillion in market capitalization for the first time since Oct. 22. The shares continued to slide Tuesday, dropping 2.3% to $943.81 at 9:43 a.m. in New York.
Musk’s disposals have dragged on Tesla shares, which peaked just before he took an over-the-weekend Twitter poll on whether he should shrink his holding. He’s now sold about 70% of the stock he would need to in order to offload 10% of his direct share ownership.
Before taking the Twitter poll, Musk said in September that he would exercise a “huge block” of options in the fourth quarter. He put a trading plan in place that month that has accounted for more than half of the share sales that started in November. He’s now exercised a total of almost 15 million options.
Musk has added almost $98 billion to his fortune this year and is now worth $253.6 billion, according to the Bloomberg Billionaires Index.
©2021 Bloomberg L.P.