Billionaire founder, Jeff Bezos, has declared his intention to divest up to 50 million shares of Amazon stock, valued at nearly $8.6 billion based on the current share price of $171.81.
This disclosure surfaced in a regulatory filing on Friday, integrated into Amazon’s annual report in adherence to Securities and Exchange Commission regulations.
Bezos’s decision follows in the footsteps of his ex-wife, MacKenzie Scott, who made headlines by offloading approximately $10.4 billion worth of Amazon shares last year.
After their divorce was finalized in 2019 following 25 years of marriage, Scott initially retained a substantial 4% stake in the company making her one of the richest women in the world. However, recent regulatory filings disclosed that she shed 65.3 million shares in Amazon.com Inc. over the past year, constituting roughly a quarter of her stake.
The billionaire couple’s high-profile divorce did not diminish their significant influence on Amazon, with both retaining substantial stakes in the tech giant. Bezos, now 60 years old, transitioned from the role of CEO in 2021, assuming the position of board chair. His decision to sell shares aligns with a predefined trading plan, subject to specific conditions.
What you should know
Jeff Bezos’s decision to sell Amazon shares strategically coincides with the company’s announcement of a record-breaking holiday shopping quarter, propelling the stock approximately 8% higher on Friday.
- The annual report outlines Bezos’s plan to execute the stock sale by January 31, 2025, aligning with market dynamics and mirroring a pattern set by his ex-wife, MacKenzie Scott.
- Amazon’s stock resurgence, soaring by around 90% since December 2022, contrasts with the challenges faced in 2022 due to e-commerce demand fluctuations and economic uncertainties.
- Bezos’s relocation from Washington to Florida strategically positions him to benefit from the absence of a state capital gains tax in Florida, a factor that amplifies the financial appeal of the stock sale.
This move reflects a broader trend among high-net-worth individuals considering tax implications in choosing their residence. Notably, the funds from the stock sale could potentially fuel Blue Origin or other personal pursuits.