Elon Musk is once again forced to sell his Tesla shares

Clearly, the boss of Tesla and SpaceX is encountering a lot of difficulties this year. While on the side of Tesla, vehicle recalls follow one another, its new acquisition of Twitter also seems to bring it more problems than expected. And to get his head out of the water a bit, the billionaire had to reconsider his decision not to sell Tesla shares a second time.

According to information from The Verge, Elon Musk sold nearly $20 billion worth of Tesla stock this year. This sale would have been mainly motivated by the desire of the leader to acquire Twitter for 44 billion dollars.


How did that $20 billion worth of Tesla stock come out?

First, Elon Musk sold $8.4 billion worth of stock in April. Once these shares were sold, he assured that he would not make any further sales of his “TSLA” shares. However, Elon Musk finally reversed his decision in the months that followed.

Indeed, in August, he had to let go for an additional 6.9 billion dollars. He explained that these shares had been unloaded in the event that he was forced to buy Twitter. At the time, the company and him were in the middle of a dispute over the boss of Tesla who wanted to withdraw from the agreement to acquire Twitter. After this sale, Elon Musk again declared that he would no longer sell his shares.

Twitter’s financial situation is unstable to say the least

Nevertheless, a series of forms recently filed with the Securities and Exchange Commission (SEC) attest that Elon Musk has again sold an additional $3.4 billion of Tesla stock. This would be linked to the recent acquisition of the social platform by Elon Musk.

Indeed, Twitter would not currently be profitable and the majority of its income would be based essentially on advertising. However, advertisers gradually moved away from the social network after Elon Musk took office. This distancing would be due to certain comments and actions of Elon Musk on moderation on Twitter. Anyway, Elon Musk contracted a debt to buy Twitter, debt for which he will have to pay a billion dollars a year in interest.

And to ensure his back whatever the advertising activity of Twitter, Elon Musk preferred to offload a new part of his actions.



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