Elon Musk sells $4 billion in Tesla shares, raising questions about Twitter’s finances
Elon Musk, the Chief Executive Officer of Tesla Motors, made a surprising move by selling nearly 4 billion dollars worth of Tesla shares in the past few days. As a result, concerns have been raised regarding the new owner of Twitter and the possibility that they are having problems with the company’s finances. Elon Musk is the richest person in the world, with a net worth that is estimated to be 179 billion dollars. Musk recently made headlines when he paid 44 billion dollars to acquire the social networking platform Twitter. When Elon Musk submitted regulatory filings with the Securities and Exchange Commission (SEC), the information surrounding the sale of Tesla shares that he had been involved in became public knowledge. According to the documents that Musk has filed with the SEC, he has sold more than 19.5 million shares of an electric vehicle manufacturer for reasons that are still unknown.
The most recent information from the Bloomberg Billionaires Index reveals that the personal wealth of the newly appointed CEO of Twitter decreased by 90 billion dollars, bringing it to a total of 179 billion dollars. His wealth never drops below two hundred billion dollars, even on the rarest of occasions. Elon Musk is the current owner of 15 percent of the shares in Tesla Inc., which is headquartered in Austin, Texas. Elon Musk became the owner of Tesla Inc. in 2004 when he made an investment of $6.5 million into the vehicle company. Tesla was established in 2003 by Martin Eberhard and Marc Tarpenning. In addition to Tesla Inc., Elon Musk holds ownership interests in the following companies: SpaceX, OpenAI, Neuralink, The Boring Company, and Twitter Inc.
Since Elon Musk took over Twitter in the last week of October 2022, it has been claimed that his workload has increased from 78 hours per week to 120 hours per week. This increase occurred just a few days ago. During the time that Musk was attending a conference, he had a conversation with hedge fund manager Ron Baron regarding his workload. Elon Musk finally won the court fights and public tiffs that had been going on for months when he gained control of Twitter Inc. on October 27, 2022. In April of 2022, the CEO of Tesla made a bid to purchase a full investment in Twitter Inc. for the price of 54.20 dollars per share. First, Twitter’s Board of Directors rejected the 44 billion-dollar offer by preventing a hostile takeover through the implementation of various policy changes.
In the end, the board of directors gave in to the pressure from shareholders as well as other unidentified causes, and they decided to accept Musk’s offer. A few weeks later, Elon Musk decided to pull out of the arrangement, citing a number of different reasons, both technological and non-technical. Elon Musk asserted that the social networking site was not providing him with sufficient statistics on the number of spam accounts and bots that were active on the platform. Elon Musk made the decision to get out of the acquisition transaction, which prompted Twitter to launch a lawsuit against him in Delaware Court. The case claims that Musk pulled out of the contract in an unreasonable manner, without presenting any good justifications. The complaint asked the court to order Elon Musk to buy Twitter for $44 billion, regardless of whether he wanted to or not.
Following the initial arguments presented in the lawsuit, Judge Kathaleen McCormick of the Delaware Court opted to move forward with the case and hold an early trial at Twitter’s request. Twitter argued that the case should be expedited. During the break in the court process, Elon Musk expressed his continued interest in acquiring Twitter. Musk was given until October 28 to complete the acquisition, after which Judge Kathaleen McCormick issued a warning that the trial would begin as soon as it was possible to do so. Following Elon Musk’s decision to finalize the acquisition on October 27, 2022, the company’s CEO, Parag Agrawal, CFO, Ned Segal, and legal chief, Vijaya Gadde, were each terminated from their respective jobs. A decision was made a few days ago by Twitter Inc. to terminate the employment of about half of the entire workforce.
Elon Musk stated on Twitter that the corporation was at a point where it could not make any additional decisions since it was losing $4,000,000 every single day. As a result of widespread concerns regarding the radicalization of Twitter in the wake of Elon Musk’s acquisition of the company, a number of prominent figures have left the social networking platform. Paid advertisements and promotions on the social networking platform have been put on hold by a number of global corporations, including Audi, Volkswagen, General Motors, and United Airlines, amongst others.