Bill and Melinda Gates, Divorce of the Century: How Will Your $ 130.5 Billion Be Shared?
The couple have in common an investment holding company that controls public and private companies, real estate and a foundation.
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Bill and Melinda Gates have announced their divorce after 27 years of marriage.
As the Microsoft co-founder reported in his Twiiter account despite "having worked a lot on our relationship", both have decided to end their marriage because "they no longer believe that we can grow together as a couple in this next phase of our lives."
Bill and Melinda Gates met at Microsoft in 1987 - a year before Gates became the world's youngest billionaire after his company went public - shortly after Melinda started working there as a product manager. They were married seven years later, in 1994, and have three children.
Before the divorce announcement, Bill Gates was the fourth richest person in the world. With a net worth of $ 130.5 billion (about € 108 billion) according to data collected by Forbes, he was behind Bernard Arnault ($ 155 billion), Elon Musk ($ 175 billion) and Jeff Bezos ($ 203 billion).
Now, how will his fortune be divided?
Let's assume that Bill and Melinda have given away around $ 50 billion of their fortune, either through direct donations or by transfer to their foundation. If they had not given away money, today a fortune of 196,000 million dollars would be distributed.
The Bill and Melinda Gates Foundation, a fundamental role
Interestingly, despite what may be assumed, Bill's net worth is not closely related to the company he co-founded, Microsoft.
When Microsoft went public in 1986, it owned 45% of the company. Today it owns less than 1.3% of the outstanding shares. It's because the philanthropist has spent the past two decades selling huge blocks of Microsoft to diversify his portfolio and fund the Bill and Melinda Gates Foundation.
Bill and Melinda Melinda will continue to work together on the project they founded, considered the largest philanthropic foundation in the world.
The couple, who created this charity in 2000, pledged to donate most of the wealth generated at Microsoft to "put it at the service of people" with the goal of creating equal opportunities for everyone.
However, according to The New York Times, Gates' fortune has not gone to the foundation, so it is anyone's guess where most of his money is.
Both have been very involved with the impact of covid-19. So much so that the Gates Foundation pledged to allocate 1.75 billion dollars in two years to help alleviate the effects of the pandemic.
Although the Gates' statement says the two plan to continue working together on their foundation, their divorce could affect the amount they donate individually or jointly to this cause.
Cascade Investement
The marriage has many businesses in common. Starting with their holding company, Cascade Investement with which they control their assets.
Cascade Investments has significant stakes in dozens of public and private companies. For example, it owns 47% of the private company Four Seasons Hotels and Resorts and the Ritz Carlton San Francisco.
Among its public investments, Cascade owns 25% of Ecolab, 14% of Canadian National Railway, 4% of Berkshire Hathaway, 10% of Deere & Company, 14% of AutoNation and 34% of Republic Services.
Estate
His Seattle mansion, known as "Xanadu 2.0," is probably one of the most valuable private residences in the world.
Situated on a hillside overlooking Lake Washington in Medina, Washington, the main house alone is over 6,000 square feet. Annual property taxes on the mansion are $ 1,063 million, out of an assessed value of $ 150 million.
An equestrian farm in California that was acquired in 2014 for $ 18 million. Not far from Rancho Santa Fe they own an oceanfront mansion in Del Mar, which they purchased in April 2020 for $ 43 million.
Since 2003 they have owned another equestrian farm in Wellington, Florida, for which they paid just under $ 9 million. In Cody, Wyoming they bought another ranch for $ 12 million
Despite the divorce, Bill and Melinda will continue to be among the 15 richest people in the world.
