THE BEZOZ DIVORCE: A COSTLY AFFAIR
The announcement by Amazon founder Jeff Bezos, the world’s wealthiest man, and his wife that they will divorce has captivated the imagination as to how will they split his giant fortune, estimated at
$136 billion? What will happen to the Internet retail giant - will his soon-tobe ex get a significant stake, and how would that affect his control of the company?
As of Wednesday, when the couple formally announced they would divorce after a long separation, the
48-year-old MacKenzie Bezos, a novelist, is likely to become the richest woman in the world. According to celebrity news outlet TMZ, the Bezoses did not have a pre-nuptial agreement - which could mean an even split of assets.
Bezos, who was once Amazon’s primary stakeholder, now owns about 16 per cent of the company - the bulk of his net worth. At mid-day Thursday, that stake translated to about $130 billion. Any divorce settlement would include his stock portfolio. If it were split in half, that would leave Bezos - who still runs the company with an eight per cent stake. So far, that prospect has not frayed Wall Street, with Amazon shares even up slightly on the Nasdaq on Wednesday after the announcement, only to fall back Thursday. Hedge fund investor Doug Kass said, he sold off his shares after the divorce announcement - which had an upbeat tone, with the pair saying they remained ‘cherished friends.’ Given they appear to be on good terms, they could decide to put their shares into a trust or other legal mechanism in order to maintain the same power among Amazon’s shareholders.
When asked about the Bezos divorce on Thursday, President Donald Trump, himself twice divorced, said, “I wish him luck. It’s going to be a beauty.”