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    HomeTrendsTESLA CEO ELON MUSK BUYS 9% STAKE IN TWITTER EXPLORED

    TESLA CEO ELON MUSK BUYS 9% STAKE IN TWITTER EXPLORED

    Tesla CEO Elon Musk now owns 9.2 percent of Twitter, according to a 13G filing filed today, according to Bloomberg News. bought the stock on March 14th. Musk has long been a prominent Twitter user, and he recently questioned his 80 million followers on the platform’s commitment to free expression. On the news, Twitter’s stock jumped more than 25% in pre-market trade.

    Twitter shares surge after Elon Musk takes 9.2% stake in company

    The objective of the purchase, as well as any future ambitions for the company, were not disclosed in Musk’s filing. However, he has previously been a vocal critic of Twitter’s regulations. He revealed last month that he was considering developing a new social media platform.

     

    When an investor purchases 5% or more of a company’s stock, they must report the transaction to the Securities and Exchange Commission. Although a holding of less than 10% in a firm is considered “passive” by Wall Street, it could indicate Musk’s desire to play a more active role in Twitter’s management. This is one of the reasons that prompted other investors to acquire shares early Monday, causing the price to rise. 

    Musk is a frequent Twitter user with over 80 million followers, yet he recently stated that he is considering creating a new social media network. 

    Musk asked his Twitter followers late last month if they thought the social media network fostered free expression.

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