One of the world’s most influential entrepreneurs in Elon Musk and his two companies in both Tesla and SpaceX are having themselves quite the week. Indeed the CEO of the companies in Musk has been on the receiving end of a huge amount of money as a result of the performance-based compensation plan that he has adopted – in lien of salaries that CEOs usually receive.
The electric car maker is firing on many cylinders as he played a major role in helping the stock advance more than 332 percent over the course of the past year. Of course as more and more money came in, the process helped Musk meet a wide series of financial goals – the company disclosing this in an SEC Filing based on Thursday evening.
The filing proceeded on to explain : “As of the date of this proxy statement, one of the 12 tranches under this award has vested and become exercisable, subject to Mr. Musk’s payment of the exercisable price of $350.02 per share and the minimum five-year holding period generally applicable to any shares he acquired upon exercise.”
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The stock then closed out at $805.81 per share on Thursday. In much more simpler words, Elon Musk has the option to buy more than 1.6 million shares at the lower $350.2 price – and if he does so, this would net him more than $769 million. For now though, it still remains quite unclear whether Musk will indeed exercise such options.
All in all, Tesla shares have seen a gain of more than 92 percent this year alone, and with more “tranches,” the CEO of the company has the opportunity at his disposal where he can effectively trap billions and billions of dollars if Tesla continues to grow in the same vein. Not only this, but he also happens to be the largest individual stockholder as he has an 18.5 percent stake.
