Jeff Bezos Gifts 1M Amazon Shares Worth $251M to Non-Profit Organizations

Amazon founder Jeff Bezos has donated over one million Amazon (Nasdaq: AMZN) shares, valued at approximately $251 million (£190.5 million), based on Monday's closing price of $248.40 (£188.62) per share.

Bezos runs non-profit funds, foundations, and preschools focused on climate change and education. He has pledged billions of dollars over the years to various charitable initiatives aimed at sustainability and global development. This year alone, he has gifted millions of Amazon shares, including a major donation of 5.2 million shares between 14 and 28 August. He remains on track to match his record donations in 2024.

The 10th November Form-4 filing with the US Securities and Exchange Commission showed that Bezos still owned 882.2 million shares of Amazon, maintaining his position as the company's largest shareholder.

Large-Scale Share Offloads

Last year, Bezos offloaded an estimated $13.6 billion (£10.3 billion) worth of Amazon shares. He uses the proceeds to fund various causes, including space ventures and philanthropy.

Funding Blue Origin

Bezos reportedly sells Amazon shares to fund Blue Origin, his space exploration company, which competes with Elon Musk's SpaceX. For example, he sold over $3 billion (£2.2 billion) of Amazon stock in November 2024, ahead of Blue Origin's New Glenn launch. Space Capital investor Chad Anderson told The New York Times, 'The only reason we are taking Blue Origin more seriously is because Bezos is bankrolling it.'

Blue Origin's highly anticipated New Glenn rocket launch was scrubbed this week due to bad weather over Cape Canaveral, Florida. The 321-foot-tall heavy-lift rocket was to carry NASA's twin ESCAPADE (Escape and Plasma Acceleration and Dynamics Explorers) orbiters, which are designed to study Mars' magnetosphere.

Major Stock Sale Before Marriage

Regulatory filings show that Bezos sold billions of dollars' worth of Amazon shares around the time of his marriage to Lauren Sanchez earlier this year. Experts suggest the timing may relate to a prenuptial agreement he reportedly signed before marriage. The sales were made under a March 10b5-1 plan, with a goal to offload $4.7 billion (£3.5 billion) of Amazon stock by May 2026. Such planned sales help manage tax liabilities and estate planning.

Legal analyst Alphonse Provinziano said the prenup would likely include details of Bezos' businesses, investments, and liabilities to prevent future legal issues. This strategic legal planning is typical among high-net-worth individuals to protect their assets.

Relocation to Florida and Tax Savings

Bezos moved to Florida from Seattle in early 2024, citing personal and professional reasons such as being closer to his parents and Blue Origin in Cape Canaveral.

He reportedly spent around $250 million (£189.8 million) on three mansions in Indian Creek village, a gated community accessible only via a guarded bridge.

Financial experts estimate Bezos saved over $1 billion (£759 million) in taxes last year by moving to Florida, which does not levy income or capital gains taxes. In contrast, Washington imposes a 7% tax on long-term capital gains for assets sold over $250,000 (£189,831). This move also helps him avoid estate taxes, potentially saving his heirs money in the future.

Disclaimer: Our digital media content is for informational purposes only and not investment advice. Please conduct your own analysis or seek professional advice before investing. Remember, investments are subject to market risks and past performance doesn't indicate future returns.