Fun

Tesla CEO Elon Musk Takes Stake in Twitter — Analyst Says It Could Lead to a Buyout

News Feed - 2022-04-04 09:04:51

Tesla CEO Elon Musk Takes Stake in Twitter — Analyst Says It Could Lead to a Buyout


Tesla CEO Elon Musk has taken a stake in Twitter Inc. after stating that he is “giving serious thought” to building a new social media platform — one that prioritizes free speech. An analyst says this could eventually lead to a buyout. Elon Musk’s Stake in Twitter


Tesla and Spacex CEO Elon Musk disclosed that he has taken a 9.2% stake in Twitter Inc. in a filing with the U.S. Securities and Exchange Commission (SEC) Monday.


The Elon Musk Revocable Trust, for which the Tesla boss is the sole trustee, now holds 73,486,938 shares of Twitter, the SEC filing details, adding that this amount represents 9.2% of Twitter’s common stock, based on 800,641,166 shares outstanding as of Feb. 10. The stake is worth $2.89 billion, based on Twitter’s closing price on Friday.


Musk’s investment in the social media giant came a little over a week after he said he is “giving serious thought” to creating a new social media platform that would focus on free speech as a top priority.


Musk, a frequent user of Twitter, also set up a poll on the platform asking his 80 million followers whether they believed Twitter rigorously adheres to the free speech principle. The Tesla boss hinted that the consequences of the poll “will be important.” Over two million votes were counted and 70.4% said no.


With the 9.2% stake, Musk has become Twitter’s biggest shareholder. By comparison, Twitter founder Jack Dorsey, who stepped down as the CEO of the company last year, holds a 2.25% stake.


While Musk’s investment in Twitter is considered a passive stake, investors are hopeful that this could lead to something more, and Twitter’s shares surged more than 25% in the pre-market.


Wedbush analyst Dan Ives told CNBC Monday: Musk could try to take a more aggressive stance here on Twitter … This eventually could lead to some sort of buyout.


“This makes sense given what Musk has at least been talking about, at least from a social media perspective,” Ives added. The analyst also wrote in a note: “We would expect this passive stake as just the start of broader conversations with the Twitter board and management that could ultimately lead to an active stake and a potential more aggressive ownership role of Twitter.”


Paul Hickey, Bespoke Investment Group’s co-founder, shared with CNBC: “Twitter is a $30 billion company. Elon Musk is worth $300 billion. It’s not necessarily a big stake for him … I’m thinking about it from a Tesla shareholder’s perspective. As they are growing, do you really want him taking his eye off the ball?” Tags in this story Elon Musk, elon musk building social media platform, elon musk invests in twitter, elon musk new social media, Elon Musk stake twitter, elon musk twitter, elon musk twitter stake, passive stake, Twitter


What do you think about Elon Musk taking a stake in Twitter Inc.? Let us know in the comments section below. Kevin Helms


A student of Austrian Economics, Kevin found Bitcoin in 2011 and has been an evangelist ever since. His interests lie in Bitcoin security, open-source systems, network effects and the intersection between economics and cryptography. Close to 250 Casascius Physical Bitcoins Were Redeemed in 6 Months, $1.9B in BTC Remain Active FEATURED | 1 hour ago Bitcoin Cold Case: The Tale of the Dormant Wallet With Close to 80,000 BTC From Mt Gox FEATURED | 4 hours ago


Image Credits: Shutterstock, Pixabay, Wiki Commons Previous articleGame Developer Group States Using NFTs in Gaming Presents Ethical Issues Next articleBitcoin, Ethereum Technical Analysis: ETH Falls Below $3,500, While BTC Continues to Consolidate Disclaimer: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article. Read disclaimerShow comments More Popular NewsIn Case You Missed ItUS Bond Markets Signal Economic Downturn, Trend Forecaster Says if War Ensues "Odds of Recession Increase"


As Americans continue to deal with rising inflation, on Tuesday the spread between 2-year and 10-year Treasury yields inverted, signaling the U.S. economy may be headed for a recession. This week, a myriad of financial reports have noted that the ... read more.Leading NFT Marketplace Opensea to Add Solana Support in April Indian Government Consulting With IMF, World Bank on Crypto Policy Study: 10% Growth in Crypto Market Cap Reduces Value of African Firms by 0.76% India"s Crypto Trading Volume Plummets as New Tax Rules Enter Into Force

News Feed

Interoperable QR Payments Reach Record Number in Argentina
Interoperable QR Payments Reach Record Number in Argentina Interoperable QR payments, a system that allows all digital wallets in Argentina to make payments in several stores, reac
Solana’s $110 Test: Bullish Reversal Or Whale-Driven Fade?
Reason to trust Strict editorial policy that focuses on accuracy, relevance, and impartiality Created by industry experts and meticulously reviewed The highest standards in reporting and pu
Reddit Post Reporting Tesla’s Bitcoin Purchase From a Month Ago Was a Hoax
Reddit Post Reporting Tesla"s Bitcoin Purchase From a Month Ago Was a Hoax A Reddit post that predicted Tesla’s $1.5 billion purchase of bitcoin on Monday
Biggest Movers: DOGE, SHIB Slip Following ECB Rate Hike
Biggest Movers: DOGE, SHIB Slip Following ECB Rate Hike Dogecoin and shiba inu fell by as much as 5% in today’s session, as markets reacted to the European Central Bank (ECB) rat
Ezra Reguerra10 hours agoBlockchain gaming sees $2.3B in investments year-to-date: ReportData from decentralized app tracking platform DappRadar shows that $600 million in investments flowed into the blockchain gaming sp
Regina Sadykova10 hours agoCrypto VC: Risk and investment strategies with Shima CapitalCointelegraph sits down with venture capital leaders in a new series to talk about which investments interest them most.466 Total vie
Synchron, ChatGPT to help paralyzed patients chat and text again
Tom Mitchelhill4 hours agoSynchron, ChatGPT to help paralyzed patients chat and text againNeurotech firm Synchron has integrated OpenAI’s generative AI tech into its brain-computer interface to help severely paralyzed
$66K BTC price now ‘critical’ — 5 things to know in Bitcoin this week
William Suberg59 minutes ago$66K BTC price now ‘critical’ — 5 things to know in Bitcoin this weekBitcoin flirts with the lower end of the stubborn BTC price trading range as traders strain to see signs of change.82
Big Move For XRP: Ripple-Backed ETF Launches In Canada
Reason to trust Strict editorial policy that focuses on accuracy, relevance, and impartiality Created by industry experts and meticulously reviewed The highest standards in reporting and pu
Localbitcoins P2P Exchange Launches Mobile App for Android
Localbitcoins P2P Exchange Launches Mobile App for Android Peer-to-peer cryptocurrency marketplace Localbitcoins has announced the launch of a new mobile application for its global
US Treasury to Reveal Crypto Holdings as SEC and Gemini Shake Hands – Will the Hype Rally These Best Altcoins?
Reason to trust Strict editorial policy that focuses on accuracy, relevance, and impartiality Created by industry experts and meticulously reviewed The highest standards in reporting and pu
Video Game Giant Square Enix Plans to Drop a Final Fantasy VII NFT Collection in 2023
Video Game Giant Square Enix Plans to Drop a Final Fantasy VII NFT Collection in 2023 According to the non-fungible token (NFT) company Enjin, the firm has inked a deal with the Ja