Elon Musk vs. Twitter, multiple twists. This time, the capricious boss seems to be well and truly caught up in material accidents. No more devastating statements without the assumption of consequences. Elon Musk admitted to selling 6.9 billion Tesla shares this week, explaining in a tweet that he wanted to “avoid a rush to sell Tesla stock“In the scenario he hopes for.”unlikely“- where he would have to buy Twitter and lose the support of some of his financial partners. The emergency. Or the consequence of the court’s decision.
In the spring, Elon Musk announced that he wanted to buy Twitter for a whopping $44 billion, including $30 billion from his personal fortune. With that in mind, he sold 8.5 billion Tesla shares in April. The moody boss then explained that he would not make another sale like this. A new turn of the situation at the beginning of July. Then he refused to buy Twitter, which would not fulfill its legal obligations, refused to share certain information and lied about the amount of spam passing through its platform. Fury on Twitter, the flow of which is falling apart. The social network has taken the case to court and intends to make Elon Musk stand by his word, that is, to pay 44 billion dollars for his takeover.
In the US, however, some observers are beginning to question the purpose of these movements. What if the Twitter affair was just a smokescreen, allowing Elon Musk to sell his Tesla shares without alerting the markets? In total, since the beginning of the year, he has sold more than $32 billion worth of shares in the electric car maker. He owns 14.84% of Tesla’s capital, which is equivalent to 132 billion dollars.
Disagreement with Twitter
The trial is scheduled to begin Oct. 17 before the Delaware General Court, which specializes in business law, and will last five days. As soon as the purchase agreement was breached, Twitter sued the richest man on the planet to make him fulfill his promise. Elon Musk counterattacked in the same court with a complaint asking the court to release him from the agreement and to oblige Twitter to pay him damages. Experts consider the chances that he will get out of it by paying only the compensations for violating the agreement (one billion dollars) or will be announced in his own right, very low. Twitter shareholders are scheduled to meet on September 13 to approve or disapprove the acquisition, which would add significant value to shareholders.
As of Tuesday night’s close, Twitter shares ended at $42.83, up 0.26%, while Tesla fell 2.44% to $850. The auto group posted solid second-quarter results in late July, posting $2.3 billion in profit for the period, nearly double last year’s second quarter. But for the first time since the beginning of 2021, its profit did not reach a new record. And its turnover, 16.9 billion dollars, was also disappointing. But the manufacturer could benefit from new subsidies from the US government under the CHIPS and Science Act, which provides nearly $200 billion in subsidies and loans to industries that can recreate advanced manufacturing jobs in the United States.
Source: Le Figaro
I am David Wyatt, a professional writer and journalist for Buna Times. I specialize in the world section of news coverage, where I bring to light stories and issues that affect us globally. As a graduate of Journalism, I have always had the passion to spread knowledge through writing.