Elon Musk Becomes Top Twitter Shareholder With $2.89 Billion Stake
Elon Musk acquires a 9.2 percent stake in Twitter worth nearly $3 billion, causing the company's stock to skyrocket by 27 percent. The purchase makes the Tesla CEO the social media platform's largest shareholder.
Elon Musk acquires a 9.2 percent stake in Twitter Inc., making him the social media platform's largest shareholder. The purchase, revealed in a regulatory filing on Monday, is worth approximately $2.89 billion based on the previous market close. This massive investment comes just a week after Musk publicly hints about shaking up the social media industry.
The news causes Twitter shares to surge as much as 27 percent, marking the stock's biggest intraday increase since its 2013 initial public offering. Musk's move follows a recent poll of his 80 million followers where over 70 percent agreed that Twitter fails to adhere to free speech principles. Analysts suggest this significant stake indicates Musk might increase his ownership or even pursue a controlling interest in the company.
This sudden development presents a major test for new Twitter CEO Parag Agrawal, who recently replaced founder Jack Dorsey. Musk currently faces existing SEC oversight regarding his Tesla tweets and remains one of the most prominent and controversial figures on the platform. The tech billionaire's exact plans for his newly acquired influence over Twitter remain unclear.