Why is Jeff Bezos selling Amazon's shares worth $2 billion?

Amazon revealed Bezos' plan to sell up to 50 million shares (worth approximately $8.5 billion) by the end of 2024.

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Courtesy: ANI

Jeff Bezos, founder of Amazon and the current executive chairman, made waves this week by selling 11.9 million shares of the company, valued at over $2 billion. This is the first time Bezos has sold Amazon stock since 2021, which fueled speculation about his motivations and potential climb back to the top of the world's richest people list.

Jeff Bezos adds $22.6 billion to his net worth in 2024

The sale, disclosed in a filing with the U.S. Securities and Exchange Commission, comes amidst several intriguing developments. Previously, Amazon revealed Bezos' plan to sell up to 50 million shares (worth approximately $8.5 billion) by the end of 2024. Moreover, the Bloomberg Billionaires Index, shows his net worth rising by $22.6 billion this year solely due to rising Amazon stock prices. This surge has propelled him to the second-richest person position, just behind Tesla CEO Elon Musk, with a net worth of $200 billion as of February 11th.

While Bezos hasn't explicitly stated the reason behind the share sale, the timing inevitably invites speculation. The gap between his and Musk's fortunes has narrowed considerably, down from $5 billion before the sale. The recent move has significantly closed the distance, with his net worth now hovering near Musk's $209 billion.

Notably, Bezos held the title of the world's richest person in 2017, dethroning Bill Gates. He maintained this position from 2018 to 2021 before being surpassed by Musk. With Tesla stocks facing challenges this year, Bezos' seemingly strategic share selling has brought him closer to reclaiming the top spot.

Understanding Bezos move

However, it's important to consider other potential factors beyond wealth competition. Bezos has invested heavily in space exploration through Blue Origin and other ventures, which require significant funding. The share sale could be a means to fuel these ambitions. Moreover, diversifying his investment portfolio might be another motivating factor.

Meanwhile, the true reasons behind Bezos' decision remain unknown. But one thing is certain this move has ignited discussions about his potential return to the top of the wealth pyramid and the ever-evolving landscape of the world's richest individuals.