Tesla CEO Elon Musk has taken a 9.2% passive stake in Twitter, a company he has been vocal in criticizing.
In addition, Musk will be appointed to Twitter’s board of directors, according to a filing with the Securities and Exchange Commission.
The move was celebrated by both Twitter and Musk on social media.
Looking forward to working with Parag & Twitter board to make significant improvements to Twitter in coming months!— Elon Musk (@elonmusk) April 5, 2022
Musk’s stake in Twitter is worth $2.9B, CNBC reported.
A passive investment in a company means that the buyer is considered a long-term investor seeking to minimize the buying and selling of shares, according to The Associated Press.
The purchase was disclosed in a securities filing Monday, The Wall Street Journal reported. Musk now owns 73.5 million shares in Twitter.
Musk’s activity caused Twitter stock prices to rise more than 25% in premarket trading, The Wall Street Journal reported.
While an active Twitter user, Musk has complained about the platform’s dedication to free speech. Musk recently hinted that he might create his own social media platform.
Given that Twitter serves as the de facto public town square, failing to adhere to free speech principles fundamentally undermines democracy.— Elon Musk (@elonmusk) March 26, 2022
What should be done? https://t.co/aPS9ycji37
©2022 Cox Media Group