Jeff Bezos, the founder of Amazon, has indicated plans to divest up to 50 million Amazon shares within the forthcoming year, an action valued at approximately $8.6 billion.
In a recent regulatory filing disclosed by CNN, the planned sale, documented in Amazon’s annual report, complies with Securities and Exchange Commission regulations and coincides with the company’s record-breaking holiday sales quarter, which resulted in an 8% increase in stock value on Friday.
Bezos, who transitioned from CEO to board chairman in 2021 after founding Amazon, is also recognized for his distinct fashion sense, engagement with Lauren Sanchez, and his ventures into space exploration through Blue Origin, his private aerospace manufacturer and sub-orbital spaceflight services company.
According to the annual report, Bezos has arranged a trading plan to sell up to 50 million shares by January 31, 2025, under specific conditions. This decision comes strategically as Amazon’s stock has surged approximately 90% since December 2022, rebounding from a low of $84 per share.
The sale follows a challenging period in 2022 when Amazon’s stock value declined amid pandemic-induced e-commerce demand fluctuations and broader economic uncertainties. Current CEO Andy Jassy has since introduced significant cost-reduction strategies, including widespread layoffs, affecting thousands of employees.
Additionally, Bezos’ relocation to Florida presents a potential tax advantage for the sale, as Florida lacks a state capital gains tax, in contrast to Washington state, which recently affirmed a capital gains tax law, as reported by the Seattle Times.
