The world’s richest man and Tesla CEO Elon Musk has sold 4.4 million shares of the electric-car maker worth around $4 billion, likely to help finance his purchase of Twitter.
Musk reported the sale in a filing Thursday with the US Securities and Exchange Commission. The sale of shares took place over several days and at prices between $872.02 and $999.13. He tweeted that he does not anticipate any further sales of shares in the company.
Most of the selling took place on Tuesday, when Tesla shares closed down 12%, an extraordinary drop for a single day.
According to analysts, investors fear that Musk will be distracted by Twitter and pay less attention to Tesla’s management. Twitter on Monday agreed to its acquisition by Musk for $44 billion.
It seemed that Musk would borrow up to $25.5 billion from various banks for the acquisition of the social network, but the sale of shares would finance part of it.
The agreement to acquire Twitter at $54.20 per share is expected to be consummated during the current year, but before that the shareholders will have to give their position. The regulatory agencies of the United States and the countries where Twitter does business will also have to make a statement.
Still, few obstacles are foreseen despite the objections of the social network’s employees, as well as many users, who fear that Twitter will lose credibility due to Musk’s expressed positions on freedom of expression, as the company could refrain. to restrict those who publish expressions of racial harassment and hatred.
Shares of Tesla closed slightly lower on Thursday at $877.51. They have fallen 17% so far this year.