Twitter’s share price has fallen below the amount billionaire Elon Musk bought it for, wiping out gains of more than $1.1 billion in four weeks.
The social media company’s share tumbled 5.6% on Tuesday to $35.76, closing at its lowest since March 16.
The stock is down 30.8% from a high of $51.70 it hit on April 25, the day Twitter agreed to be bought by Musk at $54.20 a share.
A statement filed with the Securities and Exchange Commission (SEC, the US CVM), of April 5, shows that the Tesla CEO and SpaceX founder bought 73.12 million shares on Twitter, equivalent to a 9.1% share. , at an average price of $36,157, according to data analysis by MarketWatch.
This means that with the stock closing on Tuesday 1.1% below its purchase price, Musk is now losing $29 million on his investment.
Previously, the gain was US$ 1.14 billion, considering the closing price of US$ 51.70 on April 25th.
If the deal to buy the entirety of Twitter by Musk fails, it will be necessary to fork out a compensation fee of $ 1 billion, which can be paid by both the company and the billionaire, who recently put the deal on hold after questioning the percentage of accounts. social network fakes.
Source: CNN Brasil
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