According to a new SEC filing made on Tuesday, CEO of Tesla has been purchasing shares of micro-blogging platform Twitter on a daily basis since the end of January and spent a whopping $2.64 billion for the stake he currently owns in the company.
We had earlier reported on Monday that the billionaire acquired more than 9 percent stake in Twitter, sending Twitter shares soaring more than 25 percent. His stake made Elon Musk the biggest outside shareholder. On Monday, Twitter via a 13G filing indicated that Elon Musk had 9.2 percent ownership of the company. The 13G filing indicated that Elon Musk owned a passive stake and isn’t trying to gain control over Twitter.
The Tuesday 13D filing confirmed that Elon Musk seeks to be more active in Twitter’s operations, i.e., he wants to be a part of the running of Twitter’s operations. The Tuesday filing also showed that Elon Musk owns 73,115,038 Twitter shares which translates to 9.1 percent of the company and at the end of Tuesday’s trading, these shares were worth $3.73 billion.
Elon Musk is now an active investor following the company and its CEO, Parag Agrawal’s announcement that he’d be joining the company’s board of directors. “I’m excited to share that we’re appointing @elonmusk to our board! Through conversations with Elon in recent weeks, it became clear to us that he would bring great value to our Board,” the CEO tweeted.
Per the filing, Elon Musk had been buying Twitter shares since the 31st of January and extended it through April 1st. He made the largest purchase on the 7th of February after buying 4.8 million shares worth over $176 million.
The Monday filing emphasized that while Elon Musk serves on Twitter’s board, or 90 days after serving on the board, he cannot own more than 14.9 percent of the company’s stock, whether making the purchase as an individual or a member of a group.
This announcement comes after Elon Musk criticized Twitter for hindering free speech and his announcement that he may launch his own social media platform. It is pertinent to know that Jack Dorsey owns just 2.3 percent stake in Twitter.
Ibhadojemu Lucky Emmanuel is a graduate of Education and Economics from the University of Benin. He has a passion for tech and business and has been writing professionally for over a period of five years. He's written across various topics and segments and knew tech-business was it when he first stumbled on it. He has a great passion for music and arts, and wants to visit as many countries as he can someday.
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