Tesla Motors Inc (TSLA) executives were granted 385,000 in stock options this week
Tesla Motors Inc (NASDAQ:TSLA) were given options to buy 385,000 shares of the company stock on Monday at the closing price of $139.34, according to SEC filings that were released on Wednesday.
“Certain executives were granted new options as part of the company’s annual compensation review of its employees, which had been ongoing for some time,” stated Tesla’s director of global communications Liz Jarvis-Shean in an e-mail communication with IBTimes on Thursday. “These grants were made in the ordinary course of Tesla’s business, under which new options are granted on the second Monday of each month.”
One day after the new stock options were issued, Tesla Motors announced record sales of the Model S vehicle for Q4 2013 at around 6,900 units. This exceeded prior guidance by 20%. After the good news was announced, Tesla’s stock jumped to around $171. This added around $12 million to the value of the stock options. Tesla is going to announce their Q4 2013 earnings next month.
The Tesla executives will not be able to exercise the right to buy the shares until a later performance evaluation of the company. Stock options are used for helping retain talent at the company.
Tesla Motors CTO Jeff Straubel was given the option to buy 220,000 shares worth around $30.65 million as of Monday and $37.6 million after the market closed on Thursday. VP of Manufacturing Gregory Reichow was given the option to buy 65,000 shares worth around $9.06 million on Monday and $11.11 million on the market close on Thursday. Vice President for Service and Sales Operations Jerome Guillen was granted the option to buy 55,000 shares worth around $7.66 million on Monday and $9.4 million once the market closed on Thursday. Tesla CFO Deepak Ahuja was given the option to buy 45,000 shares of Tesla stock that was worth $6.27 million on Monday and $7.69 million on Thursday.
Tesla Motors will be investing heavily in the expansion of their global sales and marketing and Superchargers. They will also expand their capacity at their factory in Fremont, California.