Elon Musk’s Twitter purchase possibly in trouble because of Tesla’s dipping value

by Susan Ryant

Elon Musk will buy Twitter for $44 billion, as we learned Monday. It sucks, and I’m not going to pretend otherwise. There seems to be two general theories going around simultaneously. One, Musk won’t have the time, inclination or ability to significantly change Twitter so people are freaking out over nothing. Two, Twitter is about to become a hellhole of re-platformed Nazis, fascists, bots and nutjobs. I’ve personally lost dozens of followers in recent days, and Twitter has said that they believe people are deleting their accounts in droves. Simultaneously, right-wing figures, fascists and Nazis have seen significant upticks in their follower numbers. Because everyone does know what Musk’s purchase means, that no matter what, fascist a–holes are happy about it so that means it’s really bad. Speaking of:

By “free speech”, I simply mean that which matches the law.

I am against censorship that goes far beyond the law.

If people want less free speech, they will ask government to pass laws to that effect.

Therefore, going beyond the law is contrary to the will of the people.

— Elon Musk (@elonmusk) April 26, 2022

“I am against censorship that goes far beyond the law.” Again, for morons like Elon Musk, a public company deplatforming Nazis is not censorship. Donald Trump was not censored, he was deplatformed for inciting a violent terrorist attack on the Capitol.

Anyway, while fascist douchebags are super-happy about Elon Musk’s purchase, it turns out that investors are not happy with Musk’s move:

Investors have wiped $126bn (£100bn) off Tesla’s value amid concern that Elon Musk may have to sell shares in the electric carmaker to fund his personal contribution to his $44bn acquisition of Twitter. Tesla stock has been targeted despite the company not being involved in the bid but Musk, its chief executive and largest shareholder, is part-funding the Twitter deal with $21bn of his own equity and a further $12.5bn loan secured against his Tesla stake.

The 12.2% drop in Tesla’s shares on Tuesday equated to a $21bn drop in the value of his Tesla stake, equal to the cash stake he committed to the Twitter deal.

Dan Ives, an analyst at the financial firm Wedbush Securities, said worries about upcoming stock sales by Musk and the possibility he is becoming distracted by the Twitter venture are weighing on the electric carmaker’s shares. “This [is] causing a bear festival on the name,” he said.

Ed Moya, an analyst at the online trading platform Oanda, said: “If Tesla’s share price continues to remain in freefall that will jeopardise his financing.”

The share fall also took place against a backdrop of difficult trading for tech stocks. The Nasdaq closed at its lowest level since December 2020 on Tuesday, as investors worried about slowing global growth and more aggressive rate increases from the US Federal Reserve.

[From The Guardian]

It would be amazing if Elon’s various Ponzi schemes came crashing down on him all because he wanted the Twitter people to think he’s cool.

FYI: We’re blocked by Elon Musk.

So much for being “committed” to free speech. pic.twitter.com/iXsMQYq8v0

— Public Citizen (@Public_Citizen) April 26, 2022

Photos courtesy of Instar, WENN, Avalon Red.

Elon Reeve Musk Auto Build – THE GOLDEN STEERING WHEEL – Main Reception – Berlin – 12.11.2019,Image: 540924644, License: Rights-managed, Restrictions: , Model Release: no, Credit line: AndreasSuhrU / Bang Showbiz / Avalon (200107) — SHANGHAI, Jan. 7, 2020 () — Tesla CEO Elon Musk attends an opening ceremony for Tesla China-made Model Y program in Shanghai, east China, Jan. 7, 2020. U.S. electric carmaker Tesla officially launched its China-made Model Y program in its Shanghai gigafactory Tuesday, one year after the company broke ground on its first overseas plant. The first batch of China-produced Model 3 sedans was also delivered to its non-employee customers at an opening ceremony for the program. (/Ding Ting),Image: 562871736, License: Rights-managed, Restrictions: WORLD RIGHTS excluding China – Fee Payable Upon Reproduction – For queries contact Avalon.red – sales@avalon.red London: +44 (0) 20 7421 6000 Los Angeles: +1 (310) 822 0419 Berlin: +49 (0) 30 76 212 251, Model Release: no, Credit line: Ding Ting / Avalon 01 December 2020, Berlin: Elon Musk, head of the space company SpaceX and Tesla CEO, comes to the Axel Springer Award ceremony. Musk will accept this year’s Axel Springer Award.,Image: 572867757, License: Rights-managed, Restrictions: , Model Release: no, Credit line: Britta Pedersen / DPA Picture Alliance / Avalon (FILE) Elon Musk acquires 1,200+ ventilators from China to help alleviate coronavirus COVID-19 shortage. Tesla and SpaceX CEO Elon Musk has acquired a trove of ventilators from China and shipped them to the U.S. for distribution to hospitals in need during the coronavirus. BEVERLY HILLS, LOS ANGELES, CALIFORNIA, USA – FEBRUARY 26: Chief Executive Officer of Tesla, Inc. and SpaceX Elon Musk arrives at the 2017 Vanity Fair Oscar Party held at the Wallis Annenberg Center for the Performing Arts on February 26, 2017 in Beverly Hills, Los Angeles, California, United States. Where: Beverly Hills, California, United States When: 24 Mar 2020 Credit: WENN/Avalon **WENN/Avalon**