https://www.washingtonpost.com/technology/2024/09/01/musk-twitter-investors-underwater/When Elon Musk bought Twitter and renamed it X, he didn’t do it alone. Though the billionaire tapped his vast wealth to cover the lion’s share of the $44 billion purchase price in 2022, he also relied on bank loans and a long list of investors, the full extent of which was only recently revealed.At the time, analysts marveled at Musk’s ability to attract dozens of enthusiastic partners. Saudi Prince Alwaleed bin Talal, who rolled nearly $2 billion in Twitter stock held by himself and a Saudi holding company into the private deal, tweeted at Musk: “I believe you will be an excellent leader for @Twitter to propel & maximise its great potential.”Two years later, Alwaleed says he is still happy with his investment. But to others, the deal looks significantly less appealing. Under Musk, X’s valuation has cratered — as Musk has acknowledged — leaving it worth as little as half of what he paid.Since late last year, Fidelity has consistently valued the X stake in one of its funds 70 percent below the purchase price, a drop in valuation first reported by Axios. Figures released Friday show that Fidelity now values that stake about 72 percent lower than when Musk took over X, taking its overall portion of the company from a valuation of around $316 million to $88 million.Based on a Washington Post analysis using Fidelity’s estimates, the eight largest initial investments that were reported to the U.S. Securities and Exchange Commission or otherwise publicly disclosed are worth about $5 billion less than when Musk bought X. His and his partners’ overall stake has shed $24 billion in value — a vaporization of wealth that has little parallel outside the realm of economic or industry-specific crashes, or devastating corporate scandals.
Among those shouldering the burden: Saudi and Qatari business leaders and royalty; Silicon Valley venture capital and tech investors; and Twitter co-founder and former CEO Jack Dorsey. Musk took out loans to cover the rest of the deal, borrowing more than $12 billion that banks have not been able to offload, news outlets have reported.“Elon’s done a tremendous amount of wealth destruction since he’s purchased Twitter,” said Ross Gerber, who said he invested less than $1 million, a stake he now considers worthless.“For the people who put capital into him for any amount,” Gerber said, “ … trying to explain to people how he lost” so much money “is not a fun conversation.”Among top investors, Dorsey — whose stake has lost an estimated $720 million — has made his displeasure known. Last year, he said Musk shouldn’t have purchased Twitter after all, posting on social media that he didn’t think Musk “acted right after realizing his timing was bad.”“It all went south,” Dorsey said.But Alwaleed, X’s biggest investor after Musk himself, said in an interview with The Post that he values his and Kingdom Holding Co.’s X stake the same as when Musk took over the site: $1.9 billion, a figure he said was a “conservative” estimate.“In our books, on my books personally, we are valuing at minimum [at] the entry level that we entered with,” he said last week. “There’s no devaluation whatsoever.”
The largest investors — those with stakes of $250 million or more — received the right to confidential business information as part of the deal, prompting concerns in Washington about the involvement of entities associated with foreign governments and their potential access to user data. Alwaleed said he received no concessions or formal influence as part of his agreement to invest, calling his motives purely financial. A spokesperson said Alwaleed and Kingdom Holding Co., which the prince chairs, receive the same set of business information available to other X and xAI investors.Alwaleed, who said he and his team are in frequent contact with Musk, X CEO Linda Yaccarino and Jared Birchall, head of Musk’s family office, said outside valuations that suggest massive losses do not take into account X’s bets through xAI, Musk’s artificial intelligence start-up. Alwaleed and Kingdom Holding Co. have become one of xAI’s largest investors.“When you evaluate X, you have to evaluate their ownership in xAI of 25 percent,” Alwaleed said. He also said X needs to prioritize revenue. “Clearly, the game right now is monetization, having advertisers coming to X.”As a major shareholder in Twitter, Alwaleed initially opposed Musk’s purchase — not because he was “against Musk,” he said, but because he thought Musk’s offer of $54.20 per share was too low.“My first call with Musk was: I was fighting to stay in the company,” he said, citing his belief that Twitter was worth more.Because Musk turned Twitter into a private company, it’s hard to know its up-to-the-minute valuation. But some things about its financial picture are clear: Advertisers, its key source of revenue, fled after controversies — some caused by Musk himself. Some advertisers were also put off by his decision to gut content moderation while restoring thousands of accounts previously suspended for breaking the site’s rules.
The deal has also faced scrutiny. The SEC has an active fraud probe into Musk’s purchase of the site, examining his early accumulation of Twitter shares without disclosing his investment — a move that could have affected the share price. Some investors have received subpoenas as part of the probe.Here are the largest initial investors in the deal, and what their stakes were worth when they bought in and what they’re worth today, extrapolating from Fidelity’s calculations.
>>1337391GO CHUD GET CRUD
>>1337394So Musk committed fraud too.No wonder he's going all in on Trump, he knows he can make those criminal investigations go away if Trump wins.
>>1337394>The deal has also faced scrutiny. The SEC has an active fraud probe into Musk’s purchase of the site, examining his early accumulation of Twitter shares without disclosing his investment — a move that could have affected the share price. Some investors have received subpoenas as part of the probeI hope this destroys Muskrat.
Remember how when Musk bought Twitter and he just casually fired a dozen FBI agents that were working there and no one seemed to care about that at all and no one brought it up again?
You faggots are never going to get over losing your favorite propaganda platform, are you.
>>1337412Why are you making fun of the BRs?
>>1337412Yahoo still exists
>>1337415It does?
>>1337412I'll get over the rightards losing their favorite propaganda platform that is Xitter when Musky-boy sells that blue albatross round his neck to someone who makes it what it was before: Twitter, with draconian TOS rules, with no wrong opinions allowed. This and now losing even more credibility with investors will more than huminiate the rightards precious 'defender of freeze peach': he'll be financial poison. He already is with advertisers, thus it's become a blue albatross round that retard's neck. Nobody will trust him again, thus he'll be ruined. Good.
>>1337417>freeze peach
>>1337417You goblins really are a cancer on civilization.
>>1337438>the cancer that is Muskrat being punished thus making rightards butthurtWatching rightard goblins impotently seethe gives me schadenfreude.
>>1337442Naturally. You're a spiteful mutant.
>>1337447Hey, if mutant rightards weren't so spiteful - certainly bigoted - against those not exactly like them, I'd have no reason to hate rightards: but if thet weren't spiteful they wouldn't be rightards in the first place. If they can't take spite, they never had the right to dish it out. Those who are spiteful against society get what they fucking deserve. Those arrested & imprisoned for what they did at Washington DC on 6th January 2021. What's happened to the founder of Telegram. Muskrat being punished for allowing wrong opinions to exist on Xitter. Good.
>>1337455>another schizo essay
>>1330466>all other BS by Musk's cockholsters in /news/>essay by a schizo
>>1337410Musk works for the DoD. He is a govt intel asset.
>>1337455>i know you are but what am i, plus schizo rambling
>schizo musk shill is butthurt
>>1337438But enough about the fascist right that Musk supports.
>>1337506Good post
>>1337510>omg upvoted!Why is this allowed?
>>1337519low energy "no u!" style posts deserve low energy responses. I'm not that anon but I see what he is doing
>>1337520>low energy "no u!" style postsIts weird because on any other board "no u" is a pretty rare thing to see because you'll get dogpiled for having such weak bantz. But on /news/ its like 60% of posts. Imo its because most posts here are by bots and/or actual shills.
>>1337523you're getting a lot of low energy coming out of Donald Trump's 2024 campaign, from Donald himself, from the media, and his fans. They know the spark is gone, the novelty has worn off, Donald is exhausted and very clearly does not want to be president or even running for president and is clearly losing his marbles and isn't the lolcow he was in 2016, so at this point they're just mirroring in a bid to not look like complete loser assholes. Mirroring is a tried and true sales tactic that works swimmingly on the uninitiated but enough people have been exposed that they're seeing right through it
>>1337525>replies with a completely unrelated ramble about Trump
>>1337526>he thinks muskrat fanboys aren't also getting their marching orders from the orange con artistYou see too many consistencies in their tone and mannerisms for it to be a coincidence, especially given Elon and Donald's right wing billionaire bromance
>>1337527>after getting mocked for his completely unrelated and completely unprompted ramble>he doubles down Rent free I guess.
>>1337529>gets calls out>repeats the jokecry some more about it. Your jewish tricks are no good here
>>1337531At this point you're doing the digital equivalent of screaming at random people in the street. Recommendation: meds.
>>1337533More like I stopped to take a moment to laugh at this clown simping for his favorite billionaires
>>1337534You have no idea what my opinions on Trump or Musk are because I haven't said anything about either. You just replied to my post, which had nothing to do with Trump/Musk, with a schizo ramble about both. Seek help. I mean it, sincerely. There is something wrong with your mind.
>>1337536>heh, look how not-mad I am pretending to be as I try to change the subjectlet me break it down for you>>1337506here, you clearly regurgitate a line out of Donald Trump's campaign in defense of Elon Musk "Ohhhh the fascist left!" like anyone but MAGA cultists thinks that actually exists>>1337519here, you started crying because that other anon didn't engage you while you were having your "no u!" tantrum>>1337525here, I explained the reason why you are seeing so many "no u!" style tantrums is because it is part of a broader strategy the right is employing in defense of their flagging presidential candidate who is BFFs with Elon Musk and who shares the same fanbaseThe rest is just you coping because you got called out
>>1337537>hereNot me. >hereNot me. >here, I explained the reason why you are seeing so many "no u!" In my experience the "no u" tends to come from the left, but sure. >The rest is just you coping because you got called outOnly losers "cope" on 4chinz. Its anonymous so no ego is involved. You have to be especially fragile to catch feelings on this place.
>>1337539>Not me.Lying like Donny again? It's not a good look>You have to be especially fragile to catch feelings on this place.Which is exactly why you won't STFU and go back to talking about Elon's colossal business failure that is X
>>1337540>Which is exactly why you won't STFU and go back to talking about Elon's colossal business failure that is XDude, you just dedicated like four posts to talking about Trump for no discernable reason. Meds.
>>1337542I find it to be a highly "discernable" reason to educate people how these two oligarchs work behind the scenes to support one another, to know the tactics they use to obfuscate and sow dissension while posing as an impartial "normal" observer. That it went 10 feet up your ass and you felt the need to reply to every single post instead of dropping it and getting back on topic is fine, I don't expect you to be thrilled that I am exposing your dirty tricks, the point is to remind everyone else how to spot it
>>1337525lmao jesus you people are bad at this.
>>1337540Seems like his purchase has been worth every penny to me.
>>1337545>his purchase has been worth every penny to meYeah. Others gain by Musk's loss. And X is making a loss. Not a good look to potential investors, and not only in X.
>>1337544You can tell he's right by your reaction.
>>1337552Okay, schizo.
>>1337556NTA >>1337552, but you can tell >>1337552 is right by your reaction, schizo.
>>1337560Hey, you're learning to link posts. Maybe they'll let you start shitting up /pol/ in a few more weeks.
>>1337551lmao it's a private company now. Musk didn't buy it to make money.
That from /pol/ has learned to link posts instead of denying (you)s to others.That which is making Musk's name mud is losing money. And not only from X.
>>1337592You, on the other hand, need some emergency training.
>>1337415That place is like FB now. Boomer right vs Boomer left.
>>1337391>When Elon Musk bought Twitter and renamed it XWhich was stupid and pointless.
Muskrat taking a loss on X is nobody's fault but Muskrat's.Schadenfreude gained by watching the inferior fail is far more valuable. Worth more than mere money.
Why does this matter? Musk took X private.His friends are out some money, but cancercrats and Wapo can't stop seething.I'd say they made a good investment.
>>1337506But enough about the fascist right boosted by Musk to create fake election boogeyman to justify fascist power grabs
To ensure rightists can say what they want, the platform they used is being subsidized by Muskrat. Subsidizing. That's a communist thing. Those who accept a subsidy and/or allow subsidizing are communist faggots.
>>1337764You know he actually owns it right?What subsidies is he receiving, troonstick?
Twitter had very little value even before Musk wasted his money buying it.It's the ultimate caricature of humans losing their attention spans and needing to be spoon-fed content in manageable chunks.
>>1337766And that's why it was so effective in pushing Demoleftists hogwash.
>troonThere's the intrusive thoughts by the faggot again. And Musk is paying for the continued existence of X out of his own pocket so his shills can be bigots. Subsidizing their right to be bigots on X. YouTube bans those with wrong opinions. They're still getting advertising revenue,
>>1337770Quit being a troon and no one will call you a troon, queer.Not all of us can sit at home on disability for troonism in Bramptonshistishireville and bump dRumpf threads all day.
>a 'troonstick' bumps the drumpf thread>a queer bumps the drumpf threadIn Soviet /news/, that which calls others troon thus bumps the drumpf thread and should quit being a queer is you
>>1337777This is a Peelon thread, you whore-mouthed faggot.
>>1337412They never will, should go to reddit.
>>1337412Lmao. Seems not.
>>1337391>Musk’s Twitter investors have lost billions in value>>1337919>Elon bending over to take a legal raping by Brazil's courts: and he only has the right to like itMuskrat has just been humiliated.>How easy it is to make even this thing their bottom bitch>The EU will have taken notice. How easy it was for them to say 'Jump' re. USB C in the iPhone 15 and forcing Apple to ask 'How high?'You are already their bitch, Musko: you just don't know it yet.
