Elon Musk Acquires a 9.2 Percent Interest In The Twitter Stock, Making Him The Company’s Largest Stakeholder
According to reports, Elon Musk is Twitter’s largest shareholder: Musk purchased a 9.2 percent share in the company. Twitter’s stock price skyrocketed last Friday as a result of rumors. It’s unclear what any of this means, but we’ll enjoy the Twitter memes for the time being.
According to a Securities and Exchange Commission 13G report issued Monday, Musk holds 73,486,938 shares of Twitter, representing a 9.2 percent passive ownership in the firm. Based on Twitter’s closing price on Friday, the stake is worth $2.89 billion.
His unexpected investment, which comes just days after he questioned the company’s commitment to free expression and said he would launch his social network, sent Twitter shares skyrocketing. While it remained unclear what role Musk intends to play, observers predicted that he might attempt an activist restructure that might affect how Twitter polices its platform and who it bans.
Twitter’s Recent Turmoil.
Musk’s decision was detailed in a regulatory filing after his statement saying he was “seriously considering” creating a new social media platform.
He also launched a poll asking Twitter users if they want an edit button, a long-awaited feature that the social media network has worked on. Chief Executive Parag Agrawal urged people to “vote wisely.”
More than 1.2 million users voted in less than three hours after the poll opened, with more than 75% favoring an edit option.
Musk questioned if Twitter’s algorithm should be open source in another poll last week. More than 82 percent of users agreed, and former CEO Jack Dorsey stated that “the decision of which algorithm to employ (or not) should be available to everyone.”
Musk has over 80 million followers on Twitter since joining the site in 2009 and has used the medium to make various announcements, including promoting a Tesla go-private transaction, which put him in hot water with regulators.
However, the world’s wealthiest person has recently been critical of the social media site and its practices and recently held a Twitter poll asking people if they felt the network adhered to the ideal of free expression. More than 70% answered “no.”
Musk shared a meme in December that connected CEO Agrawal to Soviet tyrant Joseph Stalin and depicted Jack Dorsey as a close buddy who had eventually hung.
Twitter’s recent quarterly statistics and lower-than-expected user additions have cast doubt on its growth prospects, even as it pursues large initiatives such as audio chat rooms and newsletters to break its long-running stasis.
“It does send a message to Twitter… having a big investment in the business will keep them on their toes because that passive stake could very soon turn into an active one,” said Thomas Hayes, managing member at Great Hill Capital LLC.
Tesla delivers the first vehicles built at its new Gruenheide factory.
Elon Musk attends the March 22, 2022, opening ceremony of the new Tesla Gigafactory for electric cars in Gruenheide, Germany.
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