Tesla CEO Elon Musk now owns 9.2 percent of the microblogging platform Twitter, according to a US Securities and Exchange Commission filing released on Monday. The stake’s worth is around $3 billion, according to estimations based on Twitter’s most recent closing. As a result of the announcement, Twitter’s stock price rose more than 25% in pre-market trading.
Musk is an avid Twitter user, although he has recently been critical of the social media behemoth. According to Bloomberg figures, he will possess 73.48 million shares in the corporation, making him the largest shareholder. This is more than four times the stake held by Twitter founder Jack Dorsey. Elon Musk’s interest in the firm will be held by the Elon Musk Revocable Trust.
Twitter made this revelation just days after Musk polled his 80 million followers on whether Twitter “rigorously adheres” to the ideal of free speech. He had urged his supporters to vote wisely, stating that the results of the poll would be significant. More than 70% of those polled said ‘No.’ Following the results, he sent out a tweet asking whether there should be a Twitter equivalent. He also stated that he is seriously considering creating his own social media network.
“Given that Twitter functions as the de facto public town square, failing to adhere to free speech norms profoundly damages democracy,” Musk tweeted the next day, before publicly questioning the necessity of a “new platform.”
Wedbush analyst Dan Ives told CNBC, “Musk might attempt to take a more aggressive stand here on Twitter.” “This might eventually lead to some sort of buyout,” according to Ives, “which makes sense given what Musk has been talking about, at least in terms of social media.”