Elon Musk is everywhere.
The billionaire has almost stolen the bill from the rest of the business world since the beginning of April.
We started talking about him, and introduced him to the social network Twitter (TWTR) – Get the Twitter, Inc. report., on April 4, after revealing a large stake. Fast-paced epic with many twists and turns. Ultimately, on April 14, Musk made an offer of $54.20 per share on Twitter to buy the entire company. The value of the deal is estimated at $44 billion. after frequency The board of directors finally agreed on April 25 to accept the billionaire’s offer.
But despite this agreement in principle, Musk does not stop trolling Twitter with posts on his platform, which is one of the largest influencers with more than 86.6 million followers.
Not a day goes by that Musk doesn’t connect with Twitter. When it is not to denounce the alleged lack of freedom of expression on the social network, it calls for the changes he expects. Twitter now accounts for the bulk of the serial entrepreneur’s public communications, replacing Tesla (TSLA) – Get a Tesla Inc . report clearly in the background.
A loss of 100 billion dollars in two weeks
Makes you wonder if Tesla, is in the center His master plan to save the planetIt is still a priority. The car manufacturer had a solid first quarter performance despite all the challenges it faced, giving Musk ample opportunity to push Tesla’s advantage against legacy automakers that want to steal its throne.
In a sign that Tesla fans and investors don’t appreciate this potential distraction Twitter, the automaker’s stock has struggled a lot in recent days. On April 13, the day before Musk announced his takeover offer on Twitter, Tesla shares closed the session at $1022.37 for a market capitalization of more than $1.05 trillion.
Go to follow
On April 14, the day the offer was announced, Tesla stock closed down at $985, losing nearly 4%. The decline in the stock continued and even grew as soon as Musk announced the financing structure for the operation. Tesla shares closed on April 27 at $881.51 with a market capitalization of $911 billion. Essentially, the electric car maker lost $100 billion in value in two weeks.
Tesla shareholders express concern about Elon [Musk] Doing too many things at once,” said Scott Sheridan, market expert, and CEO of a specialist investment brokerage. testworks. “And contributors may also be concerned that depending on what he does with Twitter, he may turn off potential car buyers.”
Musk is involved with many companies that depend on him to establish themselves in their respective sectors. Besides Tesla, he is the CEO of SpaceX, at the helm of Neuralink and The Boring Company.
Will Musk sell Tesla stock?
But Tesla is Musk’s favourite. The tech mogul is the architect of the success of the group that was still on the verge of bankruptcy in 2019 when it struggled to secure increased production of the Model 3, the entry-level car.
The automaker is currently facing a host of downsides like the entire auto sector: supply chains have been disrupted by the pandemic, chip shortages persist, and soaring raw material prices, such as nickel — important for batteries — aren’t going anywhere. China, for example, has imposed a lockdown on Shanghai since the end of March. Tesla’s Shanghai factory serves the domestic market, Asia and Europe as well.
In addition, Tesla has also promised that its vehicles will be able to drive on their own by the end of the year. The highly anticipated Cybertruck is slated for production in 2023. As you can see, the automaker has a lot on its plate so it doesn’t need distractions.
Tesla investors and fans are also watching how Musk intends to leverage Twitter’s acquisition. Musk secured $25.5 billion in debt and a margin loan, and also made a commitment of $21 billion in equity capital. This last part of the deal, which he personally guarantees, indicates that he may sell Tesla shares, which make up a large part of his massive estimated fortune of $253 billion as of April 27, According to the Bloomberg Billionaires Index.