New Delhi: Tesla’s shares slipped around 5% in premarket trade after the CEO of Elon Musk said he would sell 10% of his ownership _ about $ 20 billion worth _ in the electric car maker based on the results of the poll conducted on Twitter weekend.
Musk said he would obey the results of the poll, which ended with 58% from more than 3.5 million votes called him to sell shares.
Musk has around 17% of 1 billion extraordinary Tesla shares.
If he sells 10% of his ownership at a price of around $ 1,170 per share, it will release him around $ 20 billion.
Last week, Tesla’s shares reached an intraday high of $ 1,243.49 per share.
This is the most valuable car maker in the world with market capitalization of more than $ 1 trillion.
Musk who is sometimes abrasive and unexpected says he proposes stock sales because some Democrats have encouraged billionaires to pay taxes when the price of shares they hold up, even if they do not sell shares.
This is a concept called “unrealized advantages,” and Musk sat in many of them with a net worth of around $ 300 billion.
“Many are made lately have not been realized profits into a means of tax avoidance, so I propose sales of 10% of my Tesla shares,” he tweeted on Saturday afternoon.
“Do you support this?” Most of the Musk’s wealth was held in Tesla’s shares, which did not pay cash salaries.
“I only have stock, thus the only way for me to pay taxes personally is selling shares,” he tweeted.
Musk, who was known for his tweet which was sometimes reckless, said he would “obey the results of this poll.”