The Chief Executive Officer of production company and online streaming platform Netflix Inc. (NFLX) Reed Hastings exercised $612 million worth stock options last year.
This was a year when the company recorded staggering numbers of new subscribers on its streaming platform due to movement restrictions initiated to curtail movement of the deadly virus. This means as individuals stayed at home they turned into the internet for entertainment.
This propelled the company to hit the 200 million subscribers last year resulting to a 67% increase in the company’s share price in 2020.
According to a regulatory filing with the U.S Securities and Exchange Commission, in the exercising of his stock options, Hastings bought more than 1.3 million Netflix shares last year.
In normal circumstances, the price at which stock options can be exercised is set in an agreement however, the value price of the shares when the purchase is made can be varying.