The stock price of Twitter has skyrocketed.
Last Friday a stock price in the social media company would set you back just over 39 dollars, today its pushing 50 dollars a stock.
Twitter stock price.
— The Spectator Index (@spectatorindex) April 6, 2022
Friday: $39.3
Today: $50.9
This comes as Telsa CEO Elon Musk takes a 9 per cent stake in Twitter
When the news broke it sent Twitter shares soaring by a quarter in pre-market trading.
Musk’s chunk of twitter is worth close to 3 billion dollars, making him the largest shareholder in the company.
Musk now owns the most shares in Twitter, making him the company’s largest stakeholder.
The stake makes him one of the largest shareholders in the company and is more than four times the 2 per cent holding of Twitter founder Jack Dorsey.
Musk is a regular Twitter user with more than 80 million followers, but there is rumours he may pull a Donald Trump and build a new social media platform.
As cited in the BBC, Musk saw the valuation of his Tesla car company surpass a market value of $1 trillion last autumn, making it the fifth such firm to reach the milestone, after Apple, Microsoft, Amazon and Google-owner Alphabet.
Musk joins the board
Twitter says that it entered into an agreement with Mr Musk that would give the billionaire a seat on its board, with the term expiring at its 2024 annual shareholders meeting.
Mr Musk, either alone or as a member of a group – will not be allowed to own more than 14.9 per cent of the social media company’s outstanding stock for as long as he’s a board member, and then for an additional 90 days after.
Therefore this appointment effectively ends the possibility of Musk mounting a takeover of Twitter.
