Elon Musk has sold 4.4 million shares of Tesla worth around $4 billion, most likely to fund his purchase of Twitter.
Musk reported the sale in a filing with the Securities and Exchange Commission Thursday. Shares have been selling at prices ranging from $872.02 to $999.13 over the past few days.
The world’s richest man, the CEO of Tesla, tweeted that he had no further plans to sell the company’s shares.
Most of the selling came on Tuesday, when Tesla shares closed down 12%, a huge daily loss.
Analysts said Tesla investors fear Musk will be distracted from Twitter and less involved in running the electric car company. Twitter agreed to Musk’s acquisition for $44 billion on Monday.
It appeared Musk would borrow up to $25.5 billion from a range of banks to pay for the Twitter takeover, but the stock sale could potentially fund some of that.
The deal to buy Twitter for $54.20 per share was announced earlier this week and is expected to close later this year. But before the deal is finalized, shareholders will need to weigh up. This also applies to the supervisory authorities in the USA and in countries in which Twitter does business.
Few hurdles are expected so far, however, despite objections from some of Twitter’s own staff and from users concerned about Musk’s stance on free speech and what that could mean for harassment and hate speech on the platform.
Tesla shares closed slightly lower on Thursday at $877.51. They’re down 17% so far this year.
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