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World News | Elon Musk sells $3.58B worth of Tesla stock for unknown purpose

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DETROIT, Dec. 15 (AP) Elon Musk sold another $3.58 billion worth of Tesla stock this week, but it’s unclear what the proceeds will be used for.

Tesla’s chief executive and Twitter’s new owner sold the shares from Monday through Wednesday, according to a filing with the Securities and Exchange Commission late Wednesday.

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Musk has sold nearly $23 billion worth of Tesla stock since April, much of which likely went to fund his $44 billion acquisition of Twitter.

The sale comes as shares of the maker of electric vehicles and solar panels have plummeted, losing more than half their value since Musk first disclosed in April that he was buying Twitter stock.

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The drop in stock prices knocked Musk off his status as the world’s richest man, with his net worth dropping to $174 billion, according to Forbes.

Last week, French fashion and cosmetics mogul Bernard Arnault surpassed him.

The acquisition of Twitter has not gone well, and some large companies have stopped advertising on the social media platform.

Musk has said that Twitter has seen a “significant drop in revenue” due to the loss of advertisers.

Investors have been punishing Tesla stock lately because Musk spends most of his time running Twitter, raising concerns that he is distracting from the auto company.

Wedbush analyst Dan Ives said Musk is now the villain in the eyes of Tesla investors. Tesla’s fundamentals remain healthy, but his actions on Twitter are damaging the company’s brand, he said.

“Twitter’s glut is a nightmare and its growth can only be blamed on Musk,” Ives wrote in an email.

On Wednesday night, Tesla received a message asking for comment on the stock sale. (Associated Press)

(This is an unedited and auto-generated story from a Syndicated News feed, the content body may not have been modified or edited by LatestLY staff)



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