By Jay Greene and Veronica Dagher
This article is being republished as part of our daily
reproduction of WSJ.com articles that also appeared in the U.S.
print edition of The Wall Street Journal (April 5, 2019).
Jeff and MacKenzie Bezos agreed to a divorce settlement that
reduces his stake in Amazon.com Inc. but leaves the chief executive
with voting control over Ms. Bezos' share.
The settlement solved a lingering question about what would
happen to Mr. Bezos' stake, the largest in the company, following
the couple's announcement in January that their marriage was ending
after 25 years.
Amazon is the third-largest company by market capitalization,
behind Apple Inc. and Microsoft Corp.
Mr. Bezos will retain 75% of the shares he owns with Ms. Bezos,
she said Thursday on Twitter. Ms. Bezos will get the rest after the
couple's divorce decree is approved by a court, according to an
Amazon securities filing.
Mr. Bezos has a 16.1% stake in Amazon, according to FactSet. The
tweets and the regulatory filing Thursday make clear Mr. Bezos will
retain voting control of that stake, even as 4% of the company
shares will be registered in Ms. Bezos' name.
Mr. Bezos also will retain voting rights over any additional
shares Ms. Bezos receives through a stock split or dividend.
If Ms. Bezos transfers her shares, other than selling them in
the open market or donating them, she is required to have the
recipient enter into a voting agreement under the same terms with
Mr. Bezos.
Based on the company's current stock price, Ms. Bezos' stake
would be valued at more than $35 billion, affirming her status as
one of the richest women in the world.
Ms. Bezos also said in her tweet she gave Mr. Bezos her
interests in The Washington Post and the rocket company Blue Origin
LLC, which Mr. Bezos founded. She made no mention of how the couple
will divvy up the homes and other valuable possessions they
own.
In her tweet, Ms. Bezos said she gave Mr. Bezos voting control
of her Amazon shares, as well as stakes in the Washington Post and
Blue Origin, to "support his continued contributions with the teams
of these incredible companies." She added: "Excited about my own
plans. Grateful for the past as I look forward to what comes
next."
Mr. Bezos' Twitter account retweeted the tweet, the only one
shown from Ms. Bezos' account, which was created this month.
"I'm grateful for her support and for her kindness in this
process and am very much looking forward to our new relationship as
friends and co-parents," Mr. Bezos said in his own tweet.
An Amazon spokesman Thursday said the divorce filing was made in
Washington state, where the couple lives. The petition was filed
Thursday and a decree is expected to be issued within the next 90
days, according to a filing with the Securities and Exchange
Commission.
Keeping a divorce short and out of the public eye, as much as
possible, is a lesson wealthy couples can learn from the Bezos'
speedy dissolution, financial advisers and attorneys say.
It is likely Ms. Bezos and her advisers decided the terms were
equitable after taking into account the length of the couple's
marriage, her contribution to the union and Ms. Bezos' lifestyle,
said Michelle Smith, chief executive of Source Financial
Advisors.
Ms. Smith, a New York certified divorce financial analyst who
works with wealthy women, said when one spouse is so fundamental to
a business, as Mr. Bezos is to Amazon, it is generally unrealistic
for the other spouse to expect a 50-50 settlement.
Ms. Bezos, a novelist, wrote "The Testing of Luther Albright: A
Novel" and "Traps." The couple met in the early 1990s while working
in finance at the New York investment firm D.E. Shaw. He was among
the first people to interview her when she applied for a job
there.
They married in 1993 and have four teenage children -- three
boys and a girl.
When Mr. Bezos founded Amazon in a home garage in 1994, Ms.
Bezos served as its accountant. She participated in early strategy
meetings and helped pack books into boxes alongside Mr. Bezos and
other employees.
A literary agent for Ms. Bezos had no comment.
Mr. Bezos is the world's wealthiest person, with a net worth of
about $150 billion, according to the Bloomberg Billionaires
Index.
The couple didn't disclose other details of the divorce
settlement, including what portion of that wealth Ms. Bezos will
receive.
Allison Prang contributed to this article.
Write to Jay Greene at Jay.Greene@wsj.com and Veronica Dagher at
veronica.dagher@wsj.com
(END) Dow Jones Newswires
April 05, 2019 02:47 ET (06:47 GMT)
Copyright (c) 2019 Dow Jones & Company, Inc.
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