According to Form 4 filings with the US Securities and Exchange Commission (SEC), Amazon (NASDAQ: AMZN) founder Jeff Bezos offloaded 16.35 million company shares with an aggregate market value of £2.41 billion ($3.048 billion) between 1st and 13th November 2024.
Bezos notified the SEC of the massive Amazon share sale on 1st November via a Form 144 filing. Morgan Stanley facilitated the stock dump, which involved over two dozen trades under a Rule 10b5-1 trading plan Bezos determined on 2nd March 2024.
Rule 10b5-1 allows top stakeholders in public companies to set up a predetermined trading plan to offload shares, including share quantity and execution period while abiding by all insider trading laws.
Bezos Gifts 1.4M Shares To Non-Profits
In addition to the massive share sale, the second-richest person on Earth gifted an additional 1.409 million Amazon shares to non-profit organisations on 19th and 20th November, according to a more recent Form 4 filing with the SEC.
The cumulative trades carried out last month reduced Bezos’ dispositive share ownership in Amazon to 909.709 million.
A Growing Cash Pile Ahead Of Blue Origin’s New Rocket Launch
Bezos has sold almost £10.74 billion ($13.6 billion) worth of Amazon shares year-to-date. While it is unclear why he is selling billions of shares, the billionaire might use the funds to propel his Blue Origin venture.
The Bezos-founded rocket company directly rivals Elon Musk’s SpaceX. It is on the verge of launching the New Glenn rocket, designed to carry satellites and other cargo into space.
The 32-storey tall rocket will use a reusable booster and is stationed at the Cape Canaveral launch site for deployment in a few weeks.
“The only reason we are taking Blue Origin more seriously is because Bezos is bankrolling it,” Space Capital investor Chad Anderson told The New York Times. “They have spent a ridiculous amount of money.” He estimated the figure to be around £11.05 billion ($14 billion).
Furthermore, Amazon is gearing up to launch Project Kuiper in early 2025. The ambitious project will deploy a network of 3,232 satellites to offer global internet access from low Earth orbit.
Experts think Amazon has spent over £12.63 billion ($16 billion) on Project Kuiper to date.
Spending Heavily On Florida Mansions While Saving Taxes
Bezos moved to Florida from Seattle, Washington, at the beginning of this year. He announced his plans in late 2023, citing personal and professional reasons. Two primary reasons were staying closer to his parents and Blue Origin in Cape Canaveral.
He reportedly spent almost £197.44 million ($250 million) on three mansions in the billionaire bunker of Indian Creek village. The island can be accessed only through a guarded bridge.
That’s not all. Financial experts believe Bezos saved over £789.77 million ($1 billion) in taxes this year by moving to Florida.
The state doesn’t charge state income tax or capital gains tax compared to Washington, which recently imposed a 7% tax on long-term capital gains for selling assets over £197,444 ($250,000).
Bezos will also avoid estate tax since Florida doesn’t impose them, which will save his heirs much more money in the future.
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