They’ll do anything to stop this man, won’t they?
In response to this, the share price of Twitter has jumped. This would be welcome news to any shareholder of the company, right?
Wrong! According to the latest reports, one Twitter shareholder is suing Musk for his alleged failure to disclose his stake in the company, as per S.E.C. guidelines…
In my opinion, this is frivolous, and it suggests other motivations that are purely political—not financial.
What shareholder of an appreciating financial asset would sue over the news which caused the price of their shares to rise?
What logical shareholder would shirk one of the most arguably brilliant, influential captains of industry taking over a company which they are invested in? They don’t like money? Why did they buy the stock in the first place?
Here’s what we currently know:
Elon Musk is in legal trouble. The Tesla founder is being sued by former Twitter shareholders who say he waited too long to disclose that he’d bought a 9.2% stake in the social media network https://t.co/FpNaLzmAou pic.twitter.com/iioIzleBL7
— Reuters (@Reuters) April 14, 2022
Elon Musk went from:
1. teasing changes to twitter over a poll
2. buying a 9.2% stake
3. accepting then declining a board seat
4. getting sued by twitter shareholders over delayed disclosure
5. offering to buy ALL of twitter
in just a few weeks. absolute rollercoaster
— litquidity (@litcapital) April 14, 2022
The Tesla CEO had been buying shares since January and had purchased 5% of the company by March 14, which meant he had to inform the SEC by March 24.
Most persons who acquire a stake of 5% or more in a corporation are required to report their ownership in a Schedule 13G filing within ten days after the transaction, according to SEC guidelines.
People are ready to do even the most absurd thing for money This person should be really happy that Elon bought twitter share because of him your share price increases
— Mambe (@Mambe91046781) April 13, 2022
After a shareholder sued Elon Musk World’s richest man for Twitter shares, he has offered to buy the company 100% for over $40bn. pic.twitter.com/kKVkRlAleH
— Nairametrics (@Nairametrics) April 14, 2022
Daily Caller adds:
Musk disclosed his purchase of a 9.2% stake in Twitter on April 4, making him the company’s largest shareholder.
Twitter stock price surged 27% after Musk announced his acquisition, which was worth nearly $3 billion.