Elon Musk’s younger brother and another Tesla board director sell nearly $200 million worth of stock
- Tesla’s Remuneration Committee Chairman Ira Ehrenplace and Kimbal Musk have settled all the stocks they converted from their call options On Tuesday, the deal brought in $162 million and $31 million, respectively. Tesla Frequent insider stock sales have been a source of frustration for shareholders in recent months.
Rather than holding stocks like CEO Elon Musk, the two major Tesline Ciders exercised tens of millions of dollars worth of stock options and pocketed their cash.
On Tuesday, the company announced an SEC filing that proposes to sell securities under a transaction plan by board members, estimated to be worth almost $200 million. All shares converted from options were then sold that same day.
Over the past few monthslargelyStock sales arise from board chairsRobin DenholmThis time we had Musk’s Confidant Teira Ellen Price. Over 477,500 sharesAccording to Form 144, it is worth $162 million.
Ehrenpreis was one of Tesla’s longest service directors 18 years ago and joined the board of directors 18 years ago. He will chair the Compensation Committee, tasked with proposing new pay packages to shareholders for the CEO.
Another director to cash out is Kimbal Musk, the CEO’s younger brother. His 144 was shownAlmost 91,600 sharesIt was liquidated and just over $31 million. Musk’s brother, who is not sitting on the board committee because he is not officially independent,It was sold lastA significant amount of Tesla stocks in early February.
The sale prompted controversy, especially when stocks were already under pressure, like James Murdoch.LiquidationSome of his stocks. In comparison, CEO Elon Musk continues to hold all the stakes that have been sold recently. Late 2022 When he was acquiring Twitter.
Importantly, Tuesday’s deal is not a sign of concern over the current quarter, as the timing wasn’t its own will. The deal was carried out under a separate 10B5-1 plan introduced by Ehrenpreis and Musk last year.
Stocks continue to gather as Musk leaves Washington
The Tesla Director was not the only one selling shares in EV makers. Cathie Wood, Tesla bull with long-term price target with a $2,600 price target, Off-road 27,377 Tesla shares from Ark Invest funds.
The timing proved to be extremely advantageous. Stocks have grown more than 50% since first quarter revenue on April 22 when Musk pledged to dial back his time commitment with President Trump.
Tesla’s final closing price was $362.89, meaning investors are willing to pay 125 times to own consensus revenues next year. On Tuesday, the stock spiked 6.9% when the deal was executed. I will give you all my waking time Instead of investing more time in politics, he is on his business profits.
inInterviewTesla’s CEO further cemented the perception that his time in Washington was mostly done after he lamented Republican allies in DC for not making the doge’s cuts permanent.
This story was originally introduced Fortune.com