Elon Musk Buys a Large Stake in Twitter

If Mr. Musk pushing for change on Twitter may not be the first agitated investor the company has struggled with in recent years. Activist firm Elliott Management took a position on Twitter and Mr. Dorsey was removed in 2020. He later struck a deal with Twitter involving a 1 billion investment from private equity firm Silver Lake and new board members, including Silver Lake’s co-chief executive, Egon Durban. Silver Lake partnered with Mr. Musk in his attempts to privatize Tesla

Mr. The list of Musk’s other business ventures is long: in addition to Tesla, he is the chief executive of the rocket company SpaceX and the founder of the boring company Tunnel Construction Services. Adding another role to the list could upset Tesla shareholders. In the last two months of last year, Shri. Musk sold about $ 16 billion worth of Tesla stock, the equivalent of about 10 percent of its stake in the electric vehicle company.

Tesla has defined supply chain problems that have plagued most traditional car makers, Mr. Musk’s wealth and his influence in the tech and auto industries. Tesla nearly doubled its sales last year to 1 million vehicles. On Saturday, Tesla said it sold 310,000 cars in the first three months of 2022, an increase of 70 percent over the same period a year earlier – in stark contrast to the sharp decline recorded by General Motors and Toyota Motor last week.

Tesla’s ever-expanding manufacturing network, including new factories near Austin, Texas and Berlin, rivals the car manufacturers such as BMW and Mercedes-Benz in terms of sales. Despite a series of new battery-powered models from Ford Motor, Kia and others, Tesla continues to dominate the market for electric cars, the fastest growing segment of the industry.

However, executives who have mixed media projects with other private endeavors sometimes find themselves in the crosshairs of policy makers. Former President Donald J. Trump, for example, takes a dim view of Amazon because he disagrees with the coverage of The Washington Post, which Jeff Bezos bought in 2013. Tesla is a major beneficiary of environmental credit, while SpaceX follows government agreements.

Regardless of the potential pushback, Mr. Musk can stand to benefit from the investment. Document Mr. Musk’s stake at Friday’s close was said to be about $ 3 billion. It’s a March 14 date, and Twitter’s share has risen nearly 50 percent since then.

Jack Ewing And Peter Ivis Contribution Report.

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