The former executive of Electric Car maker Tesla Jerome Guillain who left the company earlier in June has sold $ 274 million of stock upon the exercise of employee stock options since June, as per latest Securities and Exchange Commission (SEC) filing.
The application, which was filed with the SEC on Friday, said Guillen expected to sell 215,718 shares for $ 129 million for the day, and later he decided to offload another 145,289 shares worth $89.6 million on June 14, and then another 90,111 stocks worth $55 million on June 10.
Confusion For Investors
“This can lead to some confusion for investors,” Wedbush Securities analyst Daniel Ives said, adding that investors will be watching closely to see if this former Tesla executive will sell more or not.
Guillen, a former Mercedes engineer who used to work at Tesla since 2010 was responsible to oversee the entire vehicle business of Tesla, before being appointed to the position of president of the Heavy truck unit at the end of March. He left the the company on 3 June.
Concerns About Tesla’s Future
With the departure of one of the top most executives after the CEO Elon Musk, there were rising market concerns about the Tesla and the future of it’s electric transport, such as the semi-electric truck with a new battery pack, which is called 4680 cells.
Stock options provide for their employees and executives the right to buy a company’s stock at a certain price at a certain period of time. If the share price rising above the strike price, you purchase shares at a reduced price.
It has not immediately been known how much was spent on the implementation of the ESOP.
