(Mirror Daily, United States) – Following a $10 million investment in the company, Tesla Motors’ CEO Elon Musk invested an extra $25 million in company shares over the last couple of days.
The billionaire tech entrepreneur is reportedly trying to make the company profitable. The company unveiled Musk’s investments in an SEC filing published on Wednesday. According to the filing, Musk has recently bought 72,500 more shares in just two days.
Tesla is worth $11.5 billion, and with more than 33 million shares, Musk’s recent investment in the company is rather minuscule. Yet, the co-founder remains the biggest shareholder, and if the company starts to make some profit, his position could improve dramatically.
Musk could soon become the richest person in the world after a multi-billion CEO compensation package cleared the Tesla board. The package would offer Musk 1.69 million shares for every $50 billion increase in the company’s market value. Currently, 1.69 million shares mean $600 million, but if the market value goes up, the share price will increase too.
Tesla Stock Climbing
Over the last few weeks, Tesla’s shares have been steadily gaining. Investors who betted against the carmaker lost $2 billion. Musk bought the fresh batch of stock after an announcement that he would trim the workforce by up to 9% to make some savings.
Only on rare occasions, has Musk bought Tesla stock outside the compensation package as the CEO. Even though in theory he is quite rich, he used to lack liquidities. At one point, he had to borrow money to keep the company afloat.
While Musk’s critics claim the recent investments are a show of confidence, Musk seems pretty confident that his company would bounce back when the production of Model 3 will go as planned. The Model 3 could make the company “cash-flow positive” rapidly.
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