In one in all a collection of untamed tweets posted final week, Elon Musk stated he can be “promoting nearly all bodily possessions” and that he would “personal no home.” He seems to be truly following by with that promise, as chronicled in an excellent story in The Wall Street Journal about Musk’s private funds that it’s best to go learn.
In response to the WSJ, regardless of being value an estimated $39 billion on paper:
…he has to borrow, typically so much, to pay for his way of life and enterprise investments with out liquidating shares that assist him preserve management of the businesses he runs. About half his Tesla inventory is pledged as collateral for private loans, an April 28 monetary submitting exhibits. Sustaining his fairness stake—about 20%, or round $29 billion at its present valuation—is necessary for him to maintain management over the Silicon Valley auto maker.
Musk additionally doesn’t take a wage at Tesla, however he apparently grew to become eligible for inventory choices value greater than $1 billion this week. To get that cash, he’ll want an eye-watering $592 million to train the choice, in line with the WSJ. It’s not clear if Musk has the cash available to train that possibility or if the cash raised from the home gross sales can be used to assist pay for the sum. “Mr. Musk mentioned he wasn’t promoting his possessions as a result of he wants the cash,” the WSJ reported.
The article additionally lists a couple of occasions Musk has mentioned he’s money poor. Right here’s one instance:
Earlier than Tesla went public, Mr. Musk advised a choose throughout a contentious divorce together with his first spouse that he had run out of money and had taken on emergency loans from associates to assist his household and pay dwelling bills.
Right here’s one other:
Final 12 months, Mr. Musk’s capability to entry money got here up once more throughout a defamation lawsuit over feedback he made a few man concerned within the rescue of a Thai soccer crew from a flooded collapse 2018. A lawyer within the case mentioned in a submitting that Mr. Musk had described himself as “financially illiquid.”
The entire article has numerous historical past about Musk, attention-grabbing details about his funds backed up by regulatory filings, and quite a few quotes from Musk himself, and I sincerely advocate taking 10 minutes to read it in full.
Oh, and for those who have been questioning the standing of Musk’s homes: he has listed three California mansions on the market and plans to promote 4 different homes in Bel-Air, in line with the WSJ. As soon as the homes are bought, Musk doesn’t know “the place I’ll keep but, however will most likely hire a small home someplace,” he mentioned in an e mail to the WSJ.