Amazon founder Jeff Bezos has announced his intention to sell up to $4.75 billion in shares of the company. This move is part of his financial strategy aimed at funding other projects.
Share Sale
Bezos, who stepped down as CEO in mid-2021, plans to sell up to 25 million shares of Amazon. The sale is expected to be completed by May 2026. According to Amazon's quarterly report, the trading plan was established in early March.
Bezos's Financial Strategy
Bezos has been reducing his expenses by moving from Washington to Florida, where there is no state income tax or capital gains tax. This decision allows him to avoid significant tax payments when selling shares. Last year, he sold over $13.4 billion worth of Amazon stock and is redirecting his focus towards his space company, Blue Origin, and The Washington Post.
Amazon's Financial Position
Just before the announcement of the sale plans, Amazon indicated a drop in its sales and operating income forecasts, which is linked to the trade war initiated by the Trump administration. This is expected to impact the company’s operating profits, reducing them by $5 billion to $10 billion this year.
The planned share sale by Jeff Bezos could impact Amazon's financial position in a changing market environment. His shift towards new projects also highlights his change in focus.
