Elon Musk owns 9.2% stake in Twitter, Corporate News

April 4 (Reuters) – Elon Musk holds a 9.2% stake in Twitter, a stock market notice showed on Monday, likely making Tesla’s chief executive the social network’s largest shareholder.

Twitter stock jumped 20.4% around 12:25 GMT in trading before the opening of Wall Street.

Elon Musk, through his Elon Musk Revocable Trust, owns 73.5 million shares of Twitter, which is worth $2.9 billion (2.63 billion euros) at Friday’s closing price.

The boss of the electric car manufacturer said in late March, in response to a question from a user, that he was “seriously considering” the creation of a new social network platform after criticizing the policies of Twitter, whom he accuses of not respecting the principles of freedom of expression.

A prolific user of Twitter, where he has more than 80 million subscribers, Elon Musk has spoken many times on the platform to make announcements that are not always to the taste of investors.

In an August 2018 tweet, he notably announced that he was considering delisting Tesla, sparking skepticism from the financial community and an investigation by the New York Stock Exchange policeman.

“We believe this passive participation is just the beginning of a deeper discussion with Twitter’s board and management, which may lead to active participation and a more dynamic role in Twitter,” wrote in a note Dan Ives, analyst of Wedbush.

Jack Dorsey, co-founder and former chief executive of Twitter, left office last November but still owns a 2.25% stake in the company, making him the sixth largest shareholder, according to Refinitiv data.

Twitter was not immediately available for comment. (Report Nivedita Balu in Bangalore, French version Laetitia Volga, edited by Matthieu Protard and Bertrand Boucey)

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