Tesla, which has been trying to boost its lagging share price, reported on Tuesday that Mr. Musk would sell up to $5 billion worth of stock. The move could allow Mr. Musk, who is Tesla’s largest shareholder and its chief executive, to cash in on some of his stake and take some pressure off the electric-car maker. In addition to the sales, Tesla said it would also offer up to $5 billion in debt.
After CEO Elon Musk’s recent post on social media, Tesla shares went up to an all-time high of $887.06 on Tuesday. This caused Musk to sell some of his shares, which were worth approximately $3.95 billion. The post that started it all was a simple agreement to accept Dogecoin as payment for Tesla’s products. Dogecoin is a cryptocurrency that started as a joke but has since exploded in popularity.
Elon Musk, Tesla’s CEO, sold $3.95 billion of his shares in the company on Monday, according to a filing with the Securities and Exchange Commission. The sale comes after Musk’s tweets about taking Tesla private. The stock has since fallen about 9 percent. Tesla shares fell more than 9 percent on Monday after Chief Executive Elon Musk sold $3.95 billion of the electric carmaker’s stock, according to a filing with the Securities and Exchange Commission.
Tesla CEO Elon Musk has sold shares worth an estimated $3.95 billion in recent days, taking advantage of the electric carmaker’s soaring stock price following the announcement of a $1.5 billion investment from Chinese internet giant Tencent. The sales are part of a plan that allows Musk to exercise stock options and sell up to $12 billion of shares over the next year. Tesla’s stock price has more than doubled since the beginning of the year, giving the company a market value of nearly $60 billion. Musk still owns about 22% of the company.
After Tesla CEO Elon Musk announced he would sell $3.95 billion worth of Tesla shares to buy a new house, Tesla stock prices spiked. This move comes after a controversial Twitter exchange in which Musk offered to take Tesla private at $420 per share. Some investors are worried that this move could signal that Musk is losing faith in the company.