- Elon Musk announced his intentions to buy Twitter back in April 2022.
- Since then, the deal has been held up numerous times, for various reasons.
- The stock prices of both Twitter and Tesla have fluctuated broadly as details of the deal change.
It seems like every time Elon Musk open his mouth (or in most cases,
his Twitter app), serious financial implications follow. The Tesla CEO
recently made headlines when he announced intentions to buy Twitter. The
purchase price for the social media network? A cool $43 billion
dollars. Since then, there’s been a series of twists and turns in the
saga. The stock price of Twitter went up. And then down. Then Tesla’s
stock also started to move, thanks to a chain reaction.
Honestly, the whole thing can be hard to follow. It can feel like
Musk changes his mind on a daily basis — which is fine, except his very
public opinions cab cause deep financial ramifications. That’s what
happens when you let the world’s richest man constantly scream into the void that is the modern internet.
If you’re struggling to make sense of it all, you’re not alone.
Here’s everything you need to know about Musk’s plans to buy Twitter,
and how they are impacting a handful of associated stocks.
Musk Buys Twitter
In late April, Musk announced his intentions to buy Twitter. Since
the social media network is already a publicly traded company, Musk
needs to buy the shares of all the current owners, both big and small.
His proposal came with a set price of $54.20 per share. That’s roughly
what the price of Twitter shares were trading for at the time.
Current shareholders might have the option to retain a minority stake
in the new Musk-owned Twitter. Otherwise, they would receive a cash
payout for every stock they hold. Unfortunately, a deal of this size
doesn’t come together quickly. A lot has changed since April, most
notable the value of Twitter shares.
