After fears of a possible boardroom battle in Amazon following Jeff Bezos' divorce to his long-time wife, MacKenzie Bezos, the couple has finally made an announcement that put those fears to rest. In a recent announcement, it was revealed that Amazon's CEO will still retain voting control over his entire $143 billion stakes in the company. His wife will own 25 percent of Bezos' original shares, but he will still retain voting authority over those shares until they are sold or donated.
The announcement has resulted in a sigh of relief for investors who had feared a possible uncertainty over the control of the multi-billion dollar company. The couple initially announced their plans to divorce on Twitter back in January. This had caused some investors to worry about Bezos' possibly losing control, which could result in large shares of the company being liquidated.
Prior to the divorce, Bezos was listed as the single largest shareholder of the retail giant, holding a 16.3 percent stake in the company. His stake in the company is worth more than the entire market values of 70 percent of the S&P 500 companies combined.
Under the newly announced divorce settlement, Mackenzie will be getting a 4 percent stake in Amazon, worth around US$36 billion. According to court filings, MacKenzie's shares will be registered under her name after the court's approval of the divorce, which is expected to happen in 90 days. This would essentially make her the third-richest woman in the world.
Meanwhile, Jeff Bezos will still retain the title as the world's richest person. Mackenzie had apparently given up all her interest in a number of Amazon's subsidiaries, including the Washington Post and the rocket company Blue Origin.
Other financial details under the settlement were not immediately disclosed, but some lawyers predict that there may have been some form of financial compensation given to MacKenzie for her to have given up such a huge position in the company. Nevertheless, most experts believe that the breakup was as amicable as it could get given the circumstances.
With the settlement, Amazon has been spared from the kind of internal rift that has broken other firms whose executives had undergone family troubles. A number of investors that owns millions of dollars worth of shares in the company have expressed their feelings of relief after hearing about the settlement.
Jeff and MacKenzie posted their sentiments online following the reaching of the divorce settlement. MacKenzie mentioned how she was grateful for finally finishing the process of their divorce. Meanwhile, Jeff Bezos thanked his now ex-wife for her support and kindness during the difficult process.
