Science

Elon Musk is selling his Tesla shares again

Elon Musk recently sold nearly 8 million Tesla shares for $6.9 billion.

Sales took place in early August

According to a filing with the Securities and Exchange Commission, on Aug. 9, the US stock market regulator revealed that Elon Musk sold almost $7 billion worth of Tesla shares between Aug. 5 and Aug. 9. Musk is the co-founder and current CEO of Tesla.

Elon Musk tweeted that he hopes Twitter is unlikely to force the sale to close because if they do, it’s important that Tesla shares are not sold in a hurry. The new sale of 7.9 million shares represents a total value of approximately $6.9 billion (€6.7 billion).

The American billionaire businessman already sold $8.5 billion worth of Tesla shares in April to prepare a takeover of the social network Twitter. Now he is leading a legal battle for control of the social network. However, the businessman assured investors that he would no longer sell Tesla shares in order to prepare for the purchase of Twitter.

Musk has said he will no longer sell Tesla stock after selling 8.5 billion Tesla shares last April. The sale follows his announcement that he wants to buy Twitter for $44 billion, including $30 billion from his personal bank account.

Recently, the leader often changes his mind. Twitter is suing Elon Musk for breaking a promise to buy the social network for $44 billion. The social network is suing Musk for canceling the sale of the platform, which he says would have lied about the number of fake accounts registered on the platform, would not have given certain information to law enforcement, and conceded to buy it either.

Can Twitter be a red herring?

Some people in the United States are wondering what the purpose of these moves is and whether the Twitter scandal was used as a red herring so that Elon Musk could sell his Tesla shares without the markets knowing.

Tesla is a manufacturer of electric vehicles. This year, the owner of more than 14.84% of the company’s capital has sold over $32 billion worth of shares. He still owns $132 billion worth of shares in the company.

Musk is due to appear in court for a five-day trial starting October 17 in the Delaware Court of Chancery. The court specializes in commercial law, and Musk is unlikely to be allowed to pay only a billion-dollar termination fee or admit that he meets the company’s standards.

Twitter shareholders are due to meet on September 13 to decide whether or not to approve the acquisition. If they decide to go through with the deal, it will be a huge win for them.

Shares of the social network have recently fallen due to falling social media advertising revenue, public criticism of Elon Musk and a general decline in the stock market. As of July 11, Twitter stock was trading at around $32.

Shares of Tesla and Twitter fell 2.44% and 0.26%, respectively, to close at $850 and $42.83 on Tuesday night. Both companies performed well in the second quarter, more than doubling their earnings compared to the second quarter last year. During this period, the automotive group made a profit of $2.3 billion.

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