Elon Musk enters the board of Twitter
Elon Musk is putting some of his money where his mouth has been for years. Today, Twitter published a note confirming that the SpaceX and Tesla entrepreneur has taken a 9.2% share of the company, working out to around $2.9 billion based on Friday’s share price.
The confirmation of the share purchase — which was rumored last week — feels Twitter’s stock soaring; it’s currently some 23% above its Friday closing price ahead of the opening of the market.
The filing, signed and dated today by Musk, notes that the share event was actually on March 14. Specifically, it noted that he had purchased 73,486,938 shares of common stock on that date. Read the full article on the TechCrunch site
Blow hot and cold
Musk joined back in June 2009 and has amassed 80.7 million followers to date. But despite such popularity on the platform, he has a longstanding love-hate relationship with it. In July 2016, he professed his love for Twitter. Then in February 2017 he described it as a “hate Hellscape.” By December 2017, he was back to loving it. In February 2019, Musk replied to Twitter founder Jack Dorsey to say that “Twitter rocks.” But in July 2020, he tweeted that Twitter “sucks”just months after saying that Dorsey had a good heart. Read the full article on the Wired site
The issue of moderation
The whimsical entrepreneur has repeatedly criticized the platform, believing, among other things, that it went too far in moderating content posted on the social network and curbing freedom of expression.
“Musk is a true visionary who can bring valuable input and ideas to help support new initiatives”reacted in a note Angelo Zino, of the firm CFRA, which recalls that Twitter has “less good results than its competitors”.
“The goal is to better monetize the platform”he continued, “and we think Musk can only help, not disrupt, that process. » Read the full article on the Presse.ca website
Limited equity investment
The question now is: where will it stop? According to the document sent by the company to the SEC [Securities and Exchange Commission, le gendarme de la Bourse] and revealed by the site The Verge, Elon Musk is promoted to class 2 director, that is to say until the general meeting of shareholders in 2024. He is therefore one of the 11 directors of the company. During his mandate and up to 90 days later, he cannot hold more than 14.9% of the company’s capital, which will still allow him to exceed the 10% threshold and therefore become an activist shareholder. . Read the full article on the La Tribune website