Elon Musk buys $1 billion in Tesla shares

September 15, 2025 / 5:12 PM

Sharjah24 - AFP: CEO Elon Musk has purchased approximately $1 billion worth of Tesla shares, according to a recent regulatory filing. This substantial investment led to a six percent increase in Tesla's share price on Monday.

Details of the purchase

The filing with the Securities and Exchange Commission reveals that Musk acquired 2.57 million shares on Friday, with purchase prices ranging from $371 to $396 per share. This move comes amidst ongoing discussions about a proposed compensation package for Musk that could potentially exceed $1 trillion, contingent on his ability to drive significant growth through new technologies.

Support from Tesla chair Robyn Denholm

Tesla chair and close associate of Musk, Robyn Denholm, has been actively defending the proposed pay package in various business media appearances. "He is a generational leader," Denholm stated in an interview on Bloomberg TV. "There aren't any other people out there like Elon who can actually lead the company over the next decade or so."

Potential growth and compensation

The proposed plan could provide Musk with an additional 12 percent of total company shares if Tesla achieves a market capitalization of at least $8.5 trillion by 2035. A shareholder vote on this proposal is scheduled for November.

Legal challenges and market performance

Currently, Tesla is contesting a Delaware court ruling that invalidated a previous compensation package for Musk, valued at approximately $55.8 billion. Tesla's current market capitalization stands just above $1 trillion, a decline from its previous peak following recently reported weak earnings.

Impact of political engagement on sales

Analysts attribute some of Tesla's recent challenges to Musk's political engagements, particularly his support for far-right politicians and causes. This has led to criticism and a noticeable decline in sales in major markets.