Elon Musk speeding towards a £2.7bn Tesla windfall

Elon Musk speeding towards a £2.7bn Tesla windfall with the electric car maker’s shares up 500% since last year

Tesla boss Elon Musk is in line for a £2.7billion bonanza after the electric car maker’s shares rocketed.

The 49-year-old could pocket the cash if his company’s market capitalisation averages $150billion (£119bn) for six months, making him eligible for the latest tranche of a record-breaking bonus scheme.

Tesla has raced past Toyota to become the world’s most valuable car maker after an astonishing stock rally of 500 per cent since last year.

Bonus scheme: Tesla boss Elon Musk could pocket £2.7bn bonanza if his company’s market capitalisation averages $150bn (£119bn) for six months

The share price has surged more than 40 per cent in less than two weeks, fuelled by stronger-than-expected car delivery figures, lifting its market capitalization to $259billion (£205billion). 

And crucially for Musk, the six-month average market capitalization has reached $138billion (£109billion). 

Reaching $150billion would trigger the second of 12 tranches under a deal agreed in 2018.

Musk qualified for the first tranche earlier this year after Tesla’s market cap surpassed $100billion. 

If he receives the second, he would amass 3.38m shares, worth $1,365.88 each at yesterday’s prices – putting Musk in line for a profit of $3.4billion (£2.7billion).