Elon Musk becomes Twitter’s biggest stockholder and raises the company’s value by 25%


Elon Musk

Elon Musk is commonly associated with Marvel’s Tony Stark, the billionaire, philanthropist, and also Iron Man. Elon may not have an iron suit to fly anywhere, but he certainly shares the money power and is also a tech visionary of the current times. The mind behind Tesla, and SpaceX, now has suddenly become one of the biggest holders of Twitter. Right after raising certain questions about the social media platform’s dedication to free speech and the First Amendment, Elon has decided to purchase a 9 percent stake in Twitter. Such acquisition now makes Elon Musk the biggest stockholder of Twitter.

Musk’s 73.5 million share purchase is worth $3 billion based on the closing price of Friday. Right after the announcement, Twitter saw its value skyrocketing by 20 percent. However, Musk’s master plan for such an acquisition is not really clear. However, he is an important person on Twitter. Elon Musk currently has more than 80 million Twitter followers and is very active on the site. He has been questioning free speech on Twitter and how the platform has been pricing users from their freedom.

Elon Musk now owns the largest slice of Twitter’s cake, however, his exact goals are unclear

According to a Securities and Exchange filing Monday, Elon Musk has actually bought the shares on March 14. He describes the move as a long-term investment that looks to minimize his buying and selling of the shares. As a result, we can clearly see how Musk has purchased the shares before his public speech on the First Amendment and Twitter. Curiously, he had even raised the possibility of creating a rival social media network. Now, his future in this segment remains a big mystery.

Read Also:  Tesla Builds 6 Times Fewer Cars At Its Shanghai Factory Due To COVID-19 Restrictions

Twitter

As per CFRA Analyst Angelo Zino, despite Elon Musk’s mysterious intent in purchasing Twitter is a mystery, this still seems to be an acquisition target. After all, its shares have been falling since early 2021. The company has failed to adequately monetize the platform during the past several years. In November last year, Jack Dorsey left his position as CEO in a clear show of uncertainty for the platform.

“Musk’s actual investment is a very small percentage of his wealth, and an all-out buyout should not be ruled out,” wrote Zino, who covers Twitter and social media.”

To show how important this acquisition is, Twitter stocks have surged more than 25 percent this Monday. It’s a 50 percent raise if we consider March 14 date, when Musk has actually bought his stake. To put things in perspective, Musk’s stakes are now four times higher than Dorsey’s stakes. He was the co-founder of the company and was the largest individual shareholder until Elon Musk stepped in.

Elon Musk on chip shortage

Now, let’s see what real-life’s Iron Man will make of Twitter. When it comes to the technology segment, he keeps on trying and calling enthusiasts for new revolutionary technologies.

Source/VIA :
Previous Hertz and Polestar announce global partnership to boost EV segment
Next SwitchBot LED Strip Light with great Amazon promo deal