Elon Musk, the CEO of Tesla and the new owner of Twitter, is said to have sold 19.5 million Tesla stock worth about $4 billion following his purchase of the social media network.
Tesla CEO and Twitter’s new owner Elon Musk sold about $4 billion in Tesla shares in the days after his purchase of Twitter.
According to documents on Tuesday, Musk sold 19.5 million Tesla shares beginning on November 4.
Despite becoming the world’s wealthiest person partly due to his Tesla shares, Musk has sold more than $19 billion in the company’s stock this year. He stated that he has no intentions to sell any shares in the foreseeable future after selling them in April and August.
Musk just purchased all of Twitter’s shares for $54.20 per, having already pledged to do so in April. According to public reports, Musk raised $33.5 billion in equity money to fund the transaction, which included co-investors. According to regulatory records, the transaction was also financed with $13 billion in debt.
Tesla stock has dropped by around 50% in the last year.
Musk is reportedly searching for new methods to monetize Twitter, including maybe putting the service behind a paywall.
Musk and his advisor David Sacks have lately discussed this notion in meetings. A time restriction may be imposed on the platform, necessitating a membership to continue reading Twitter.
Twitter declined to comment on Musk and Sacks’ intentions to build a paywall. It is also unclear whether the Twitter Blue team will complete the enlarged verification project before the launch.
Despite Twitter’s high debt burden and the current halt in substantial ad expenditure, Musk and his close advisors will have to do something to increase income drastically. In any case, Twitter will face significant changes very soon.