Elon Musk has purchased $10 million worth of Tesla shares and announced he intends to buy more. Next week, Musk plans to buy another $20 million in Tesla shares, upping his personal stake.
Musk Builds his Tesla Stake
Tesla CEO Elon Musk has purchased about $10 million in Tesla shares to boost his personal stake in the company. That said, according to a recent announcement, he plans to keep building his personal stake in the electric vehicle maker. In fact, his intention is to buy another $20 million in shares next week, according to a filing this week.
This is not the first mention made of Musk’s intentions to buy more shares of Tesla. However, it was previously suggested that he would be buying another $20 million in shares. It looks like that’s only two thirds of what the final total will be in a span of two weeks. This announcement was made shortly after a settlement with the Securities and Exchange Commission (S.E.C.) regarding fraud charges that came with a $20 million penalty each for both him and the company.
One Fifth of Tesla
Aside from the announcement regarding the upcoming Tesla shares purchases, this week’s filing also showed that Musk had purchased 29,844 of the company’s shares by way of open market transactions. Those shares had a total worth of about $9.997 million. As a result of his existing shares ownership in addition to those he purchased this week, he has brought his stake of the company to about 20 percent.
That said, it’s clear that Musk is not satisfied with an ownership of one fifth of the company’s shares as he intends to buy twice as much next week as he did this week. This follows a number of changes that have occurred in the company regarding his position there. Those changes were also a part of the penalty laid down by the S.E.C.
Musk’s Changing Role
Elon Musk has officially removed the title of chief executive officer from his biography page on the official Tesla website. That title was taken down from the website last week. One of the components of the S.E.C. settlement was for Tesla to seek out a new chairman who would hold the position for at least the next three years. That said, this week’s filing still refers to Musk as the company’s C.E.O.