Twitter investors may yet boot Elon Musk and win

8/11/2022 11:30:00 PM

Twitter shareholders, including Elon Musk, would be better off if the board settled with its flaky, unwilling buyer and sold to someone else for less, writes @TheRealLSL.

Twitter shareholders, including Elon Musk, would be better off if the board settled with its flaky, unwilling buyer and sold to someone else for less, writes TheRealLSL.

Elon Musk is hedging his Twitter court case bets. On Tuesday he revealed he sold another $7 billion of Tesla shares in the “hopefully unlikely” event that he has to close the $44 billion agreed deal for the social network that he decided to walk away from last month. Better for Twitter shareholders – including Musk – if the board settled with its flaky , unwilling buyer and sold to someone else for less.

(TSLA.Elon’s challenge for a public debate , plus there’s no word of any pending settlement.Check out what's clicking on FoxBusiness.In April, the Tesla CEO said he had no plans of selling any more Tesla stock after selling about $4 billion worth, yet six Securities and Exchange Commission filings reveal that Musk sold 7,924,107 more shares between Aug.

O) shares in the “hopefully unlikely” event that he has to close the $44 billion agreed deal for the social network that he decided to walk away from last month.Better for Twitter shareholders – including Musk – if the board settled with its , unwilling buyer and sold to someone else for less.” If that happens, Musk said, he’s trying to avoid an emergency sale of Tesla stock.loading The two sides go to court in October to battle over the minutia of the merger document.Tesla's CEO sold 7.It’s in neither party’s interest, though, to undergo a legal battle.Wedbush analyst Dan Ives tweets , “Musk selling TSLA stock after he said no more sales will lead the Street to focus on chances of Twitter deal happening and Musk preparing cash portion.Instead, Musk could pay up to back out.“In the (hopefully unlikely) event that Twitter forces this deal to close *and* some equity partners don’t come through, it is important to avoid an emergency sale of Tesla stock.

Though he may loath handing over the cash, he would in part be paying himself, as he still owns almost 10% of the company..Tesla CEO Elon Musk alongside the electric automaker's logo.A , say, equates to roughly $6.50 a share, or $475 million in Musk’s pocket, if the company were to distribute it as a special dividend.” Next Up In Sign up for the newsletter Verge Deals Subscribe to get the best Verge-approved tech deals of the week.Register now for FREE unlimited access to Reuters.Musk still has a 15% stake in the company.com Register That helps ease the pain for the remaining shareholders, too.Email Oops.Musk then filed a countersuit against Twitter, accusing the social media platform of fraud.

Musk offered $54.20 a share back in April, so the break fee would allow Twitter’s board to accept a new bid for just under $48 a share and not lose.Please enter a valid email and try again.The Tesla CEO went on a selling spree in April as he was lining up financing for.Granted, that’s 50% higher than the $32 a share that is fair value.But it’s also less than a tenth higher than where the stock currently trades.Moreover, Musk lined up $7 billion from equity partners including Sequoia Capital and Larry Ellison.

They might jump at the chance for a cheaper deal.There are other goodies in it for Musk.Assuming he bought his Twitter stake in late March, a new deal at $48 a share would ink another $560 million or so in gains.He’d still be out $4 billion to Twitter.But Musk has said if he doesn’t use the cash from his Tesla share sales to close the deal, he’d scoop up his carmaker’s stock again.

That has fallen more than a quarter since the start of April so could represent an investment opportunity for him.Selling to a willing buyer is also a than renegotiating a deal with Musk, who keeps dragging Twitter’s business model through the mud.Its investors may yet be able to ditch Musk and win.Follow on Twitter CONTEXT NEWS Elon Musk tweeted on Aug.10 that he sold $6.

9 billion worth of Tesla stock in recent days in the “hopefully unlikely” event that he has to close his $44 billion offer for Twitter.Last month, Musk said that he was terminating his merger agreement with the social-media company because it had failed to provide data about fake accounts.Register now for FREE unlimited access to Reuters.com Register Editing by Antony Currie and Amanda Gomez Our Standards:.

Read more:
ReutersBreakingviews »
Loading news...
Failed to load news.

Elon Musk changes plans, sells $6.9 billion in Tesla shares with Twitter trial loomingIn April Musk said he had no further Tesla sales 'planned.' Nice. Retail investors getting hustled again, as he slowly makes his exit from tesla. TaylorOgan Love him ❤️ our lord and saviour. He will take us to mars and give us all self driving car! How cool!

Elon Musk sells nearly $7B in Tesla shares as Twitter legal battle rages onElon musk has sold nearly $7 billion worth of Tesla shares, months after saying he was done with his selling spree following his $44 billion bid to buy Twitter. Pin money.

Elon Musk sells $7 billion in Tesla stock, gearing up for Twitter battleTesla CEO Elon Musk has given himself some financial cushion by selling nearly $7 billion in Tesla stock.

Elon Musk sells $7B in Tesla shares ahead of Twitter fight“In the (hopefully unlikely) event that Twitter forces this deal to close and some equity partners don’t come through, it is important to avoid an emergency sale of Tesla stock,' Musk tweeted. $6.9 billion, there’s a difference 😂

Elon Musk sells $7B in Tesla shares ahead of Twitter fightElon Musk has sold nearly $7 billion worth of shares in Tesla as the billionaire gets his finances in order ahead of his court battle with Twitter.

Elon Musk sells $7B in Tesla shares ahead of Twitter fightElon Musk has sold nearly $7 billion worth of shares in Tesla as the billionaire gets his finances in order ahead of his court battle with Twitter. As a Twitter shareholder… where is my fookin money ELON!