A regulatory filing on Monday confirmed that Tesla CEO Elon Musk purchased nearly $1 billion worth of the automaker’s stock. The transaction, which took place on Friday, involved the acquisition of 2.57 million shares on the open market. This move increases his already substantial stake in the electric vehicle company.
According to the filing, the shares were bought at prices ranging between $372.37 and $396.54. Following the disclosure, Tesla’s stock price saw a significant increase, rising more than 8% in premarket trading. This gain builds upon a positive trend from the previous week, putting the stock on track for a third straight session of growth.
The purchase aligns with Musk’s stated desire for greater control over the company. He has publicly called for increasing his voting power to 25%, stating it is necessary to lead the company’s expansion into artificial intelligence and robotics. Before this recent transaction, Musk held an approximate 13% stake in Tesla as of December.
This development comes shortly after Tesla’s board proposed a new trillion-dollar compensation package for Musk. In a recent statement, board chair Robyn Denholm addressed investor concerns, stating that Musk was fully focused on the company despite recent political activities that some feared had become a distraction.
