Elon Musk puts more Tesla shares up for sale, reducing his stake to 15%

On April 26 of this year, the big news broke around the world: Elon Musk bought Twitter for a value of 43,394 million dollars. That first pre-agreement with the directors of the social network was subject to certain conditions that ultimately did not occur. The American tycoon withdrew his offer, while Twitter accused him of an unfriendly maneuver to lower the share price. Since then, both parties have been involved in a dispute that does not look very good for Elon Musk, who has just divested himself of numerous shares of Tesla to face a possible mandatory payment.

Although there is still no final ruling on the matter, Musk knows that the decision can accelerate a process of selling shares in which he would lose. If finally the employer loses the legal battle against Twitter, he will be obliged to buy the social network for the price agreed in the pre-contract. It must be remembered that Musk withdrew his initial offer when detecting possible strange numbers of users on the network. The board of directors of this determined that the CEO of Tesla was trying to reduce the cost of the operation, and sued.

The legal fights continue their course, Although the trial is not held until October 17, it is necessary to prepare for any eventuality. To cover his back, Musk has sold a significant block of shares in his company worth a total of $6.9 billion. Rumors immediately arose about an operation that could be aimed at accumulating capital for the mandatory purchase of Twitter. Musk himself already announced on Tuesday that something like this could happen: “it is important to avoid an emergency sale of Tesla shares.”

Elon Musk tesla buys twitter-inside
Although the trial against Twitter will not be held until October, Musk prepares for a possible mandatory purchase

Already in the past month of April the CEO of the company got rid of a first important package of shares. At that time the operations were valued at about 8,500 million dollars. Musk said at the time that there were no further sales planned, although he was not in the legal trouble he is in right now either at the time.. In a similar operation, Elon Musk has disposed of 7.92 million shares between August 5 and 9. Accumulating all the sales made in the last year, the amount increases to 32,000 million dollars.

The result of so much share trading is that Elon Musk retains a total of 155.04 million Tesla shares (according to Reuters). After having lost shareholding prominence, still retains the largest package of titles, representing 15% of the multi-billion dollar company. Despite the strategy followed by Musk, the value of the shares has not decreased, quite the opposite. After the last quarterly report, the values ​​have grown by 15%, being currently the sixth most valuable company in the world with an estimated value of 922.35 billion dollars.

Related Articles

Leave a Reply

Your email address will not be published. Required fields are marked *

Back to top button