Amazon founder and CEO Jeff Bezos is planning to sell nearly $5 billion worth of shares in the company, as its stock price has reached an all-time high. The planned sale of 25 million shares was disclosed in a notice filed after market hours on Tuesday, with the stock price climbing to $200.43. This represents a 30 percent increase from the beginning of the year and far surpasses the average gain in the Dow Jones Industrial Average index.
Bezos’ decision to sell shares comes as Amazon joins the exclusive club of companies with a $2 trillion valuation. Earlier this year, Bezos sold shares worth $8.5 billion after the stock rallied 80 percent. With an estimated net worth of $214.4 billion, Bezos is also the founder of space company Blue Origin, which recently launched a six-person crew to the edge of space.
The value of Amazon has been boosted by increasing demand for artificial intelligence (AI). Companies are relying on its cloud computing subsidiary, Amazon Web Services (AWS), for computing power and advanced software. AWS has signed major contracts, including building a “top secret” cloud for the Australian government for $1.3 billion and enhancing collaboration with the United States. In addition to its cloud services, Amazon has announced plans to invest billions in expanding its cloud infrastructure in Singapore, Malaysia, and Thailand. The company’s strong financial performance and strategic investments indicate its position as a major player in the AI revolution.
With this proposed sale, Bezos would still own about 8.8% of the outstanding stock, amounting to approximately 912 million Amazon shares.
In conclusion, Jeff Bezos is selling nearly $5 billion worth of shares in Amazon as its stock price hits an all-time high and it joins the exclusive club of companies valued at over $2 trillion. The surge in demand for AI is driving up AWS’s value and fueling growth in Singapore, Malaysia, and Thailand.
Amazon founder Jeff Bezos is planning to sell nearly $5bn worth of shares in his technology giant as its stock price hits an all-time high.
This proposed sale by one of world’s wealthiest individuals comes as Amazon joins an elite group of companies with a valuation above $2 trillion.
Bezos sold shares worth around $8bn earlier this year when stock prices surged by around 80%. Aftermarket hours on Tuesday saw him file a notice detailing his intention to sell 25 million more shares at around $200 each.
This move would reduce Bezos’ ownership stake from around 17% down to around 8%, but he would still hold approximately 912 million outstanding shares.
Bezos’ recent investments have seen him launch Blue Origin into space while expanding AWS infrastructure globally through partnerships with governments such as Australia’s “top secret” cloud project that cost over US$1bn.
