Vanguard now owns 10.3 percent of Twitter, while Musk owns 9.1 percent of the company, making him the largest individual shareholder.
Musk, whose share is four times that of the only other individual shareholder in the company – founder Jack Dorsey – on Wednesday made a sensational bid for the company, and publicly revealed the plan on Thursday morning.
Twitter’s board met on Thursday afternoon, and the company’s CEO Parag Agrawal afterwards spoke to staff.
He told employees that the company was still evaluating Musk’s $43 billion offer, according to The Verge.
Ahead of Agrawal’s speech, employees were played songs including ‘I Say A Little Prayer’ and ‘I Want It That Way’ by the Backstreet Boys, the site reported.
The 37-year-old Agrawal then held a 25-minute Q&A session.
He did not say when the board would have an answer for Musk, or which way the board was leaning – responses which The Verge said frustrated some staff.
The board would follow a ‘rigorous process’ and make a decision ‘in the best interest of our shareholders,’ he said.
Vanguard, led by CEO Tim Buckley, increased its stake in the company at some point during the first quarter, according to SEC filings made on April 8.
Vanguard previously reported owning 67.2 million shares of Twitter or about 8.4 percent of the company as of the end of December, according to FactSet.
Other owners of large quantities of Twitter stock include Morgan Stanley, Fidelity and Black Rock.
Vanguard’s holdings are now worth $3.78 billion, based on Twitter stock’s closing price on Wednesday.
The company frequently sides with management on voting issues, and does not usually advocate for changes like a hedge fund or activist investor might, The Wall Street Journal reported – meaning that they are unlikely to look favorably at Musk’s proposal to buy out the company.
Elon Musk (left) was the largest shareholder, but now that honor belongs to Vanguard (pictured right: CEO and chairman Tim Buckley). Buckley’s company has increased its stake in Twitter from 8.4 percent to 10.3 percent, meaning that Vanguard now owns more shares than Musk – who has a 9.1 percent stake
Twitter’s shares had a volatile day of trading on Thursday, closing down at $45.08 amid concern about Musk’s intentions
Musk on Thursday afternoon tweeted a poll, asking: ‘Taking Twitter private at $54.20 should be up to shareholders, not the board.’
Musk launches bid in text message to Twitter chair
According to a regulatory filing, Musk launched his takeover bid in a text message to Twitter board chairman Bret Taylor on Wednesday.
The text message read:
As I indicated this weekend, I believe that the company should be private to go through the changes that need to be made.
After the past several days of thinking this over, I have decided I want to acquire the company and take it private.
I am going to send you an offer letter tonight, it will be public in the morning.
Are you available to chat?
Over 80 percent of the one million votes cast in the first hour said yes.
Musk then tweeted: ‘I love you.’
Earlier on Thursday, Musk fired back at a Saudi Arabian shareholder of Twitter who tried to block his $41 billion hostile takeover plan, questioning whether royalty in the notoriously repressive state should exercise control over the social media platform.
In a tweet, Musk responded harshly to Saudi Prince Alwaleed bin Talal, who claimed to be ‘one of the largest’ Twitter shareholders and said he would ‘reject’ Musk’s proposal to take the company private, calling the offer insufficient.
‘How much of Twitter does the Kingdom own, directly & indirectly? What are the Kingdom’s views on journalistic freedom of speech?’ Musk asked bin Talal.
Bin Talal’s true ownership stake in Twitter is unclear. Though the prince shared a screenshot boasting of his 5.2 percent stake in 2015, his investment firm later reduced its stake below 5 percent, and has not had to report any further transactions, regulatory filings show.
Bin Talal is a cousin to Saudi Crown Prince Mohammad bin Salman, whom the CIA concluded ordered the grisly assassination of Saudi journalist Jamal Khashoggi in 2018. The Saudi government has long ranked near the worst in the world for press freedom.
Meanwhile the Twitter board, meeting on Thursday afternoon, reportedly considered combatting Musk’s takeover bid with a so-called ‘poison pill’ provision that would prevent the Tesla CEO from increasing his stake in Twitter, a source told the Wall Street Journal.
Also known as shareholder rights plans, poison pills typically trigger an automatic stock dilution through a flood of new shares if a corporate raider’s ownership stake grows too large. In Twitter’s case, the idea would be to prevent Musk from increasing his 9.1 percent stake in order to pressure the board to accept his deal.
In separate tweets, Musk argued that it ‘would be utterly indefensible’ not to allow shareholders to vote directly on his plan. ‘They own the company, not the board of directors,’ he wrote.
Twitter shares closed down 1.68 percent on Thursday after a volatile session, ending the shortened trading week at $45.08 – well below Musk’s offer price of $54.20, in a sign that markets do not view his bid as likely to succeed.
Elon Musk responded harshly to Saudi Prince Alwaleed bin Talal (left), who claimed to be ‘one of the largest’ Twitter shareholders and said he would ‘reject’ Musk’s proposal to take the company private
Twitter shares closed down 1.68 percent on Thursday after a volatile session, ending the shortened trading week at $45.08 — well below Musk’s offer price of $54.20, in a sign that markets do not view his bid as likely to succeed
Musk, speaking at the TED2022 Conference in Vancouver on Thursday afternoon, defended his takeover bid, saying he was motivated to transform Twitter into a bastion of free speech.
Poison pill plans use the threat of dilution to dissuade takeovers
The Twitter board, meeting on Thursday afternoon, reportedly considered combatting Musk’s takeover bid with a so-called ‘poison pill’ provision that would prevent the Tesla CEO from increasing his stake in Twitter.
Also known as shareholder rights plans, poison pills typically trigger an automatic stock dilution through a flood of new shares if a corporate raider’s ownership stake grows too large.
For instance, if a single shareholder hits 15% ownership, a poison pill could be designed to allow every other shareholder to buy a new issue of shares at a discount.
Knowing such a plan could be triggered, raising the cost of a takeover astronomically, the bidder would be disinclined to pursue a takeover without the board’s approval.
In Twitter’s case, the idea of such a plan would be to prevent Musk from increasing his 9.1 percent stake in order to pressure the board to accept his deal.
‘This is not about the economics,’ Musk said.
‘My strong intuitive sense is having a public platform that is maximally trusted and broadly inclusive is important to the future of civilization.
‘The civilizational risk is decreased the more we can increase the trust of Twitter as a public platform,’ he said.
‘Twitter has become kind of the de facto town square, so it’s really important that people have both the reality and perception that they are able to speak freely, in the bounds of the law.’
Asked whether there is a ‘Plan B’ if the Twitter board rejects his bid, Musk responded ‘there is’, but declined to offer further details, saying that he would elaborate further at ‘another time.’
Though regulatory filings suggest that his bid is contingent on anticipated financing, Musk insisted that he had the resources on his own to complete the transaction, saying: ‘I have sufficient assets…I can do it.’
Shares of Twitter swung between positive and negative in volatile afternoon trading, but remained well below Musk’s offer price of $54.20 per share, suggesting that markets are skeptical that the deal will go through.
At the TED conference, Musk laid out his vision for Twitter, saying that he believed the source code for the site’s algorithm should be openly shared on GitHub.
‘Having a black box algorithm that promotes some things and demotes others is really dangerous,’ he said.
He said that permanent bans from the platform should be rare, and that the only limits on speech should be the legal limits imposed by the governments of countries Twitter operates in.
‘A good sign as to whether there is free speech is when someone you don’t like, is allowed to say something you don’t like.
‘If that is the case, then you have free speech,’ said Musk
However, he did not directly address whether he would reinstate former users who have been banned from Twitter, a category that notably includes Donald Trump.
Elon Musk appeared at the TED2022 Conference on Thursday, saying that he is pursuing a hostile takeover of Twitter not for financial gain, but for the ‘future of civilization,’ saying that he has a ‘Plan B’ if his initial $41 billion offer fails
‘My strong intuitive sense is having a public platform that is maximally trusted and broadly inclusive is important to the future of civilization,’ he said
Shares of Twitter slumped in midday trading, dropping below Wednesday’s closing price to $45.76 — well below Musk’s offer price, signaling that investors remain skeptical that his takeover bid will succeed
The Twitter board met on Thursday to consider Musk’s bid to take the company private, and the company held an all-hands meeting to update staffers. The CEO, Parag Agrawal, said after the board meeting that any decision will be made in the best interests of the company and its shareholders, but did not give a timeline. A conference room in Twitter headquarters is seen above
In a tweet, the SpaceX CEO simply wrote: ‘I made an offer’
The US-educated billionaire who almost lost EVERYTHING… who is MBS’s cousin Prince Alwaleed bin Talal of Saudi Arabia?
Prince Alwaleed bin Talal was one of the richest men in the Middle East but suffered after a fallout with his cousin Crown Prince Mohammed bin Salman and nearly lost everything.
The 67-year-old is a grandson of the first king of the country and in 2008 was judged by Time to be one of the top 100 most influential people in the world.
His wealth is concentrate in his 95 per cent stake in Kingdom Holding Company, which invests in other firms.
He has lived a life of untold riches, with him reportedly once owning a 435 bedroom palace and being worth $39.8billion, according to Forbes in 2017.
But Prince Alwaleed nearly lost everything later that year when he was arrested and MBS seized $2billion worth of his assets that were held in Saudi Arabia.
The crown prince also tried to snatch his foreign assets. Alwaleed owns shares in Twitter, Lyft, Citigroup, and top hotels including the George V in Paris and the Plaza in New York.
DailyMail.com revealed the Trump administration allegedly made a deal with MBS, allowing him to seize his US assets as long as the assets remained inside the US.
He was reportedly targeted as part of a major crackdown on corruption in the country.
But the prince was released in January 2018 after he made an undisclosed financial settlement with the Saudi government after two months held captive.
He had been held with dozens of other billionaires in the luxury Ritz-Carlton hotel in Riyadh until he was released.
Allegations against Prince Alwaleed included money laundering, bribery and extorting officials, a Saudi official told Reuters.
It is still not clear what he had to pay to be released, but officials had previously ordered him to pay at least $6billion.
Prince Alwaleed was born in Jeddah as the son of Saudi Arabia’s finance minister. But his parents split up when he was seven and he stayed with his mother in Lebanon while his father was in exile.
He studied at Pinewood College in Beirut before being sent to King Abdulaziz Military Academy in Riyadh.
By 1979 he had moved to the US to study business administration at Menlo College in California, which he finished in two and a half years and left with a degree.
He stayed in the US and went on to get a master’s degree from the Maxwell School of Citizenship and Public Affairs at Syracuse University in 1985.
After university he returned to the Middle East, where he bought a number of banks and quickly built up his fortune.
He continued to expand his business ventures abroad – and in 1997 he was largest shareholder in Apple with a 5 per cent stake.
Other notable companies he invested in include Planet Hollywood (a 16 per cent stake in 1998), Coca Cola and Ford.
Elsewhere he also made a name for himself by donating $10million to the then NYC Mayor Rudy Giuliani in the wake of the 9/11 terror attacks.
He said at the time: ‘At times like this, we must address some of the issues that led to such a criminal attack.
‘I believe the government of the United States of America should re-examine its policies in the Middle East and adopt a more balanced stance toward the Palestinian cause.’
Prince Alwaleed owns one of the biggest yachts in the world, the 282 ft Kingdom 5KR.
It featured with a previous owner as the boat for the villain in the James Bond film Never Say Never Again and was later owned by Donald Trump.
He has three sprawling palaces, with his main residence in central Riyadh, with one of the homes still being built.
The royal has been married at least four times, starting when he was just 19 to his cousin Dalal bint Saud. with whom he has two children.
According to a regulatory filing, Musk launched his bid with a text message to Twitter board chair Bret Taylor on Wednesday, telling him he was preparing to send an offer letter and asking: ‘Are you available to chat?’
In the follow-up call, Musk told Taylor that his bid was his final offer, saying: ‘I am not playing the back-and-forth game,’ according to notes for the call.
‘If the deal doesn’t work, given that I don’t have confidence in management nor do I believe I can drive the necessary change in the public market, I would need to reconsider my position as a shareholder,’ Musk warned Taylor, the notes show.
Musk’s offer price of $54.20 per share represents a 38 percent premium to the closing price of Twitter’s stock on April 1, the last trading day before the Tesla CEO publicly revealed his 9.1 percent stake in the company, sending the stock popping.
The offer figure also includes the digits ‘420,’ a reference to marijuana that Musk frequently jokes about.
Twitter will review the offer with advice from Goldman Sachs and Wilson Sonsini Goodrich & Rosati, a source told Reuters.
Musk said U.S. investment bank Morgan Stanley was acting as financial adviser for his offer.
He did not specify how he would finance the transaction if it goes ahead.
Though Musk is the world’s richest man, much of his wealth is not liquid, consisting of his ownership stakes in Tesla and SpaceX.
Musk would have to sell off some 43 million Tesla shares to fully finance the deal himself – a move he is seen as unlikely to take – meaning that he will likely secure outside financing using his stock as collateral.
Tesla shares sank more than 3 percent in morning trading on Thursday after the bid was announced.
A filing shows that Musk’s offer is contingent upon ‘completion of anticipated financing’, implying that funding for the bid is not yet secured.
Musk has a contentious relationship with some major investment banks, including JPMorgan Chase, which is currently involved in suits and countersuits with Tesla over Musk’s tweets and disputed bond contracts.
The chances of Musk’s Twitter takeover bid succeeding seemed very much up in the air.
Because his offer letter hints strongly at a management shakeup, the bid is likely to be fiercely opposed by current Twitter execs, including CEO Parag Agrawal, who also holds a board seat.
If Twitter’s board members decide to battle Musk’s takeover, they could solicit competing offers from other potential buyers. They could also pursue a ‘poison pill’ plan, which would trigger punishing dilutions of company shares if Musk attempted to increase his stake in the open market.
In a tweet, billionaire Mark Cuban said that Twitter is desperately seeking a ‘white knight’ to make a competing offer or buy out Musk’s position to save the company from his takeover.
‘Every major tech company , Google, fb, et al is on the phone with their anti trust lawyers asking if they can buy Twitter and get it approved,’ he wrote.
But Cuban added in a follow-up tweet: ‘I think Twitter will do everything possible not to sell the company. They will try to get a friendly to come in and buy Elon’s shares and get him out.’
He accused Musk of ‘f****** with the SEC’.
‘My conclusion, @elonmusk is f—king with the SEC,’ Cuban tweeted.
‘His filing w/the SEC allows him to say he wants to take a company private for $54.20 Vs. his ‘Am considering taking Tesla private at $420. Funding secured.’
‘Price go up. His shares get sold. Profit [up] SEC like WTF just happened.’
In September 2018, Musk and Tesla were fined $40 million for Musk’s tweet about taking the company private, and Musk was forced to step down as chair of the company as part of the settlement.
Yet Wedbush analyst Dan Ives called Musk’s offer for Twitter a ‘historic move’ that is likely to succeed, writing in a note ‘ultimately we believe this soap opera will end with Musk owning Twitter after this aggressive hostile takeover of the company.’
Ives wrote that it was ‘get out the popcorn time’ and predicted ‘many twists and turns in the weeks ahead as Twitter and Musk walk down this marriage path.’
Musk, who is Twitter’s biggest individual shareholder, sent his offer letter on Wednesday night, telling the company’s board that ‘it’s a high price and your shareholders will love it’.
He is the world’s richest man, with a net worth of $282 billion and a fortune worth $100 billion more than Amazon founder Jeff Bezos.
Musk announced his bid in a tweet on Thursday morning, saying simply: ‘I made an offer.’
Outspoken Musk, known for his social media antics, told Twitter board chair Bret Taylor: ‘I invested in Twitter as I believe in its potential to be the platform for free speech around the globe, and I believe free speech is a societal imperative for a functioning democracy.
‘However, since making my investment I now realize the company will neither thrive nor serve this societal imperative in its current form. Twitter needs to be transformed as a private company.’
The letter continued: ‘I am offering to buy 100 percent of Twitter for $54.20 per share in cash, a 54 percent premium over the day before I began investing in Twitter and a 38 percent premium over the day before my investment was publicly announced.
‘My offer is my best and final offer and if it is not accepted, I would need to reconsider my position as a shareholder.
‘Twitter has extraordinary potential. I will unlock it.’
Billionaire Mark Cuban said that Twitter is desperately seeking a ‘white knight’ to make a competing offer or buy out Musk’s position to save the company from his takeover
Musk launched his bid with a text message to board chair Bret Taylor on Wednesday, followed by a phone call
Musk’s formal offer letter to buy Twitter in a hostile takeover is seen in full above
Musk, who has more than 81 million followers on Twitter, recently added a new picture of himself as a much younger man
Musk added that his offer was not a ‘threat’, but ‘it’s simply not a good investment without the changes that need to be made.’
He continued: ‘And those changes won’t happen without taking the company private.’
He called that price his best and final offer, although the billionaire provided no details on financing. The offer is non-binding and subject to financing and other conditions.
The total deal value was calculated based on 763.58million shares outstanding, according to Refinitiv data.
Earlier this week, Musk rejected an offer to join Twitter’s board after disclosing his stake in the company, a move which analysts said signaled his intention to take over the company as a board seat would have limited his stake to just under 15 percent.
Musk has amassed over 80 million followers since joining the site in 2009 and has used the platform to make several announcements, including teasing a go-private deal for Tesla that landed him in hot water with regulators.
Musk has been a vocal critic of of Twitter in recent weeks, mostly over his belief that it falls short on free speech principles.
The social media platform has angered followers of Donald Trump and other far-right political figures who’ve had their accounts suspended for violating its content standards on violence, hate or harmful misinformation. Musk also has a history of his own tweets causing legal problems.
Musk’s move comes after he tweeted on Saturday asking whether the social media network was ‘dying’ and to call out users such as singer Justin Bieber, who are highly followed but rarely post.
In other weekend tweets, Musk posted joke polls on whether to drop the ‘w’ from Twitter’s name and on converting its San Francisco headquarters to a homeless shelter ‘since no one shows up anyway.’
He also suggested removing ads, Twitter’s main source of revenue.
The second tweet about deleting ‘w’ saw Musk give two options without no as an answer, with 55.8 percent saying ‘yes’ and 44.2 percent ‘of course’ of 445,158 votes to-date
In the first post, Musk seemingly took aim at the company’s lax remote working policies, saying he came up with the plan ‘since no one shows up anyway.’ So far, 91.1 percent of 923,459 respondents voted in favor of the plan
Musk revealed last week that he had become Twitter’s largest shareholder, with a 9.1 percent stake in the company, on March 14.
One day after he disclosed his stake, platform CEO Parag Agrawal announced the Tesla co-founder had been invited to the join the company’s board of directors, a seat he gladly accepted.
By accepting the board seat, Musk was limited in how much of the company’s shares he could own, with a 14.9 percent cap.
However, on Sunday Parag announced the SpaceX CEO formally declined his board seat.
Musk, 50, signed the new filing with the Securities and Exchange Commission (SEC) Monday indicating he had declined his board seat.
One day after he disclosed his stake, platform CEO Parag Agrawal (pictured) announced the Tesla co-founder had been invited to the join the company’s board of directors, a seat he gladly accepted
The document stated Musk could ‘express his views’ about Twitter’s policies and services to the board or on social media. He could also purchase additional shares or sell Twitter stock, if he saw fit.
Agrawal said the board would still ‘remain open’ to Musk’s input, while also warning: ‘There will be distractions ahead but our goals and priorities remain unchanged.’
‘The board and I had many discussions about Elon joining the board, and with Elon directly,’ wrote Agrawal. ‘We were excited to collaborate and clear about the risks.
‘We also believed that having Elon as a fiduciary of the company where he, like all board members, has to act in the best interests of the company and all our shareholders, was the best path forward. The board offered him a seat.’
Agrawal continued: ‘We announced on Tuesday that Elon would be appointed to the board contingent on a background check and formal acceptance.
However, on Sunday Parag announced the SpaceX CEO formally declined his board seat
On April 5, Elon Musk vowed to ‘make significant improvements’ to Twitter after revealing his large stake in the social media platform and intention to join the board of directors
‘Elon’s appointment to the board was to become officially effective 4/9, but Elon shared that same morning that he will no longer be joining the board.’
Agrawal did not specify why Musk was not joining the company’s board.
But, he added: ‘I believe this is for the best.
‘We have and will always value input from our shareholders whether they are on our board or not.’
The 37-year-old said: ‘Elon is our biggest shareholder and we will remain open to his input.’
‘The decisions we make and how we execute is in our hands, no one else’s.
‘Let’s tune out the noise, and stay focused on the work and what we’re building.’
How Musk could win control of Twitter EVEN if board refuses his offer: Breakdown of a VERY hostile takeover bid by a genius who is used to getting what he wants
If Twitter were to reject Musk’s bid, which analysts argue it cannot afford to do, the billionaire may target stockholders by either seeking proxy votes or purchasing their shares.
Here, DailyMail.com looks at what could happen next – and how Musk could be helped, or hindered, in his bid to buy his favorite social media network…
What is a hostile takeover – and what are the details of Musk’s attempted hostile takeover?
Tesla chief Elon Musk has launched a hostile takeover bid for Twitter, offering to buy 100 percent of its stock and take it private, a stock exchange filing revealed.
A hostile takeover occurs when an acquiring company or individual attempts to assume control of the organization against the wishes of its current management, according to Investopedia.
An offer such as Musk’s – which was made out-of-the-blue, and without board approval – can be considered a hostile takeover.
The acquiring party can achieve a takeover by fighting to replace the company’s leadership or, as Musk did, by issuing an offer for the company and attempting to buy the necessary stock on the open market.
Musk has offered to buy the social media platform for about $41billion, saying the social media company he has often criticized needs to go private to see effective changes.
Elon Musk (pictured on April 7, 2022) has offered to buy Twitter for $41.39billion. Musk’s offer price of $54.20 per share represents a 38 percent premium to the closing price of Twitter’s stock on April 1, the last trading day before the Tesla CEO’s over 9 percent investment in the company was publicly announced
Elon Musk shared news of his bid on Twitter around 7.30am Thursday
His offer price of $54.20 per share, which was disclosed in a regulatory filing on Thursday, represents a 38 percent premium to Twitter’s April 1 close.
‘As a result, I am offering to buy 100 percent of Twitter for $54.20 per share in cash, a 54 percent premium over the day before I began investing in Twitter and a 38 percent premium over the day before my investment was publicly announced,’ the tech tycoon wrote.
The total deal value was calculated based on 763.58 million shares outstanding, according to Refinitiv data.
‘My offer is my best and final offer and if it is not accepted, I would need to reconsider my position as a shareholder,’ he said. ‘Twitter has extraordinary potential. I will unlock it.’
Twitter says it will ‘carefully review’ Elon Musk’s offer to buy entire social media network
Elon Musk has launched a hostile takeover bid to take Twitter private in a $41.39 billion all-cash deal, telling the board chairman in an offer letter: ‘Twitter has extraordinary potential. I will unlock it.’
Twitter confirmed on Thursday that it had received the offer, saying in a statement: ‘The Twitter Board of Directors will carefully review the proposal to determine the course of action that it believes is in the best interest of the Company and all Twitter stockholders.’
Musk insisted that his bid was his ‘best and final offer’, adding that ‘if it is not accepted, I would need to reconsider my position as a shareholder,’ a regulatory filing showed.
His offer price of $54.20 per share represents a 38 percent premium to the closing price of Twitter’s stock on April 1, the last trading day before the Tesla CEO publicly revealed his 9.1 percent stake in the company, sending the stock popping.
The offer figure also includes the digits ‘420,’ a reference to marijuana that Musk frequently jokes about.
Musk, who is Twitter’s biggest shareholder, sent his offer letter on Wednesday night, telling the company’s board that ‘it’s a high price and your shareholders will love it’.
Musk added that his offer was not a ‘threat’, but ‘it’s simply not a good investment without the changes that need to be made.’
‘And those changes won’t happen without taking the company private.’
A hostile takeover typically tales place when the acquiring entity believes the target company is undervalued.
It can also occur when activist shareholders, like Musk, seek to change the organization but are not supported by the target company’s current management or board of directors.
What happens now?
SpaceX boss Elon Musk has launched his bid to take over Twitter, however the company’s Board of Directors still has the right to reject his offer.
The billionaire entrepreneur issued a tender offer Thursday morning to buy all of Twitter’s stock at $54.20 per share, 18.2 percent above the current market price of $45.85 per share.
If the board were to reject Musk’s tender offer, he could then approach the shareholders, who may accept the offer.
Investopedia notes that shareholders often accept the tender offer when it is a ‘sufficient premium to market value or if they are unhappy with current management’.
Musk could also employ a proxy fight in which opposing groups of stockholders attempt to persuade other stockholders to let them use their shares’ proxy votes.
If the Tesla CEO were to acquire enough proxies he could then use them to vote to accept his offer.
However, Twitter does have measures in place that could defend the company from a potential hostile takeover.
Twitter bylaws limit shareholders’ ability to call special meetings or call the shots in investor meetings.
The company also has the right to issue preferred shares that would give certain shareholders more voting rights than ordinary shareholders.
It is unclear how many of those preferred shares were issued as Twitter did not immediately respond to DailyMail.com’s request for comment.
Preferred shares or stocks with differential voting rights make it more difficult to generate the votes needed for a hostile takeover, if leadership owns a large enough portion of the shares with more voting power.
If the board were to reject Musk’s tender offer, he could then approach the shareholders, who may accept the offer. Musk could also employ a proxy fight in which opposing groups of stockholders attempt to persuade other stockholders to let them use their shares’ proxy votes. Twitter’s San Francisco headquarters is pictured in July 2021
How much of Twitter does Musk own? What is a share currently worth – and how much is he offering per share?
Tech tycoon Elon Musk is the social media platform’s largest shareholder.
He revealed in regulatory Securities and Exchange Commission (SEC) filings over recent weeks that he’d been buying shares in almost daily batches starting January 31, resulting in a 9.1 percent stake in Twitter.
He currently holds 73,486,938 shares of the company, valued at more than $3.3billion, based on the stock’s current market value of $45.85 per share.
He has offered to buy Twitter for $41.39billion, a regulatory filing showed on Thursday.
Musk’s offer price of $54.20 per share represents a 38 percent premium to the closing price of Twitter’s stock on April 1, the last trading day before the Tesla CEO’s over 9 percent investment in the company was publicly announced.
Musk is offering to purchase Twitter for $54.20 per share. The company’s stock is currently valued at $45.85 per share
News of Musk’s potential takeover prompted shares of Twitter to jump nearly 12 percent before the market open Thursday, reaching a high of $53.99 per share
News of Musk’s potential takeover prompted shares of Twitter to jump nearly 12 percent before the market open Thursday, reaching a high of $53.99 per share before dropping back down to $45.85, which is more similar to share prices in recent weeks.
Twitter’s stock value did surge nearly 30 percent in early April after Musk disclosed his stake in the company.
One day letter, Twitter CEO Parag Agrawal announced the Tesla co-founder had been invited to the join the company’s board of directors, a seat he gladly accepted.
By accepting the board seat, Musk was limited in how much of the company’s shares he could own, with a 14.9 percent cap.
However, on Sunday Parag announced Musk had formally declined his board seat.
The entrepreneur signed the new filing with the SEC on Monday indicating he had declined his board seat. The document stated Musk could ‘express his views’ about Twitter’s policies and services to the board or on social media. He could also purchase additional shares or sell Twitter stock, if he saw fit.
Musk became Twitter’s majority shareholder after he acquired 73.5 million shares of the platform. An SEC form in early April (pictured) revealed that Musk began purchasing Twitter stock on January 31 and continued to buy shares during every trading session through April 1
Who are the other shareholders?
Elon Musk is Twitter’s largest shareholder, owning a 9.1 percent stake in the company.
Only Vanguard Group’s suite of mutual funds and ETFs controls more Twitter shares.
The Vanguard Group, Inc. owns an 8.39 percent stake in the company, holding nearly 67.2 million shares.
The company’s mutual funds – Vanguard Total Stock Market Index Fund, Vanguard 500 Index Fund and Vanguard Mid Cap Index Fund – hold a 2.8 percent, 2.21 percent and 1.09 percent stake respectively, CNN Business reported. In total, this is approximately 48.7 millions shares.
Twitter’s other top owners include Morgan Stanley Investment Management Inc. with an 8.08 percent stake, BlackRock Fund Advisors, holding 4.56 percent and SSgA Funds Management, Inc. with a 4.54 percent stake.
The company’s other top shareholders hold between a 1.5 percent and 2.51 percent stake in Twitter.
What happens if investors say no?
Wall Street analysts predict Twitter is likely to reject Elon Musk’s ‘generous offer’ to purchase the company for $41.39billion.
If the Board of Directors does reject his offer, the Tesla boss will have to decide whether or not he wants to continue to up the stakes in his attempted hostile takeover of the company.
‘The big question for the Twitter board now is whether to accept a very generous offer for a business that has been a serial under-performer and tends to treat its users with indifference,’ Michael Hewson, Chief Market Analyst at CMC Markets told Reuters. ‘Twitter has also come under increasing criticism for its arbitrary censoring of accounts that don’t adopt a particular political narrative, as well as the arbitrary nature of how it verifies users, and deals with fake accounts, over genuine users.’
He added: ‘From customer service to the monetization of its user base, Twitter has been a serial under-performer for some time. Maybe a shaking up of the status quo wouldn’t be a bad thing!
‘Whatever your feelings on Musk, he would certainly shake things up, with the only question as to whether he would make things worse or improve them.’
Wall Street analysts predict Twitter is likely to reject Elon Musk’s ‘generous offer’ to purchase the company for $41.39billion. They also argue Twitter cannot afford to reject Musk’s bid. The billionaire is pictured at a SpaceX post-launch news conference in January 2020
‘Given the likelihood that Twitter’s board will reject the offer, the question then becomes whether Musk would want to perform a hostile takeover of the company,’ echoed Jesse Cohen, Senior Analyst at Investing.com. ‘Elon Musk’s offer shows that he has very little confidence in current management and does not believe he can drive the necessary change while Twitter is still public, particularly its free speech policies. Now we know the reason behind Musk’s refusal to join the board.’
However, other analysts allege Twitter cannot afford to reject Musk’s bid, arguing the offer – which is 18 percent above where Twitter’s stock closed on Wednesday and roughly 38 percent above where shares were trading before Musk revealed his stake – is too good to pass up.
‘Management is in a tight spot here,’ told CNBC’s SquawkBox Thursday morning. ‘A rebuff would be a powerful mistake … for management.’
Wedbush’s Dan Ives noted that although Musk’s offer is less than Twitter’s 52-week high, it is unlikely the company will get a competing offer.
‘I see no other bidder for Twitter. He went so above and beyond here,’ Ives said.
Other analysts argue that if Musk’s deal were to fall through, it would raise Twitter’s profile as a ‘potential takeover candidate’ for another investor.
‘Elon is not the most predictable human,’ Rich Greenfield, of Lightshed Partners, said, voicing his skepticism. ‘Part of this is, is he even serious. Is this just a game? Is he having fun and making a point about free speech and trying to hold management’s feet to the fire, or does he actually want to own and control Twitter and run it?
‘It reminds shareholders that unlike most of the companies in tech, heck, most of the companies in media land, there’s no control shareholder. You can buy Twitter.’
What do Twitter’s staff make of the takeover bid?
Twitter’s usually vocal employees have remained quiet in wake of Musk’s attempt to buy the company.
However, Haraldur Thorleifsson, a team leader at Twitter, issued several tweets Thursday morning criticizing the billionaire.
‘Just go to therapy dude,’ Thorleifsson wrote, seemingly of Musk.
‘Thousands of amazing people work at Twitter. Their job is to build and maintain a product used by hundreds of millions globally. That is an incredibly hard job and we don’t always succeed. But I’m proud to work alongside them and today I tip my hat in respect.’
Musk, in his bid to takeover the company, argued Twitter is ‘simply not a good investment without the changes that need to be made,’ noting the alleged necessary changes ‘won’t happen without taking the company private’.
The rollercoaster rise of Elon Musk: Billionaire Tesla founder left behind troubled South African childhood with an ‘evil’ father to become world’s richest man and father of SEVEN kids with two women – as he launches $41.3BN Twitter takeover bid
Billionaire Elon Musk is attempting to expand his booming business with a shock attempt to take over Twitter – which he would add to his already impressive roster of companies, including Tesla and SpaceX.
But while the eccentric businessman – who is the richest man in the world with an estimated net worth of $260 billion – is known around the world for his professional endeavors, quirky lifestyle, and rocky romances, his life has not always been so high-profile.
In fact, Musk, 50, experienced a difficult childhood thanks to a rocky relationship with his father – who the SpaceX founder has described as ‘evil’ in the past and a seemingly-lonely upbringing.
Now, it seems, Musk has moved far past the tough times, in order to attempt to once again make financial history with his attempted takeover of Twitter.
Musk said that he is pursuing the takeover of Twitter not for financial gain, but for the ‘future of civilization,’ adding that he has a ‘Plan B’ if his initial $41.3 billion offer fails.
‘This is not about the economics,’ he said at the TED2022 Conference in Vancouver on Thursday afternoon, as it was reported that Twitter’s board is plotting to employ a ‘poison pill’ in order to stop his takeover attempt.
‘My strong intuitive sense is having a public platform that is maximally trusted and broadly inclusive is important to the future of civilization. The civilizational risk is decreased the more we can increase the trust of Twitter as a public platform.
‘Twitter has become kind of the de facto town square, so it’s really important that people have both the reality and perception that they are able to speak freely, in the bounds of the law.’
According to Bloomberg, Musk is currently the wealthiest person in the world – with a net worth of around $260 billion.
Billionaire Elon Musk is attempting to expand his booming business. The SpaceX founder announced on Wednesday that he wanted to buy Twitter for $41.39 billion
How did Musk go from a nerdy child living in South Africa with an absentee mother and emotionally abusive father to the richest man on Earth? He is pictured as a baby with his dad
As he gears up to potentially purchase Twitter and expand is already-enormous list of business ventures, FEMAIL has taken a look back at his career. He is pictured in 2016
Besides launching his own aerospace manufacturing company – SpaceX – he also serves as the CEO of automobile company Tesla, Inc. and has created The Boring Company – a construction service dedicated to building tunnels.
He has also co-founded Neuralink, a neurotech company, and artificial intelligence research laboratory OpenAI.
Previously, he created Zip2 – an online directory that provided addresses and directions to newspapers – as well as X.com – an online banking system that was later turned into PayPal.
But how did Musk go from a nerdy child living in South Africa with an absentee mother and emotionally abusive father to the richest man on Earth?
Musk didn’t have the easiest childhood – he was severely bullied by his classmates and it got so bad that he was once hospitalized after they pushed him down a set of stairs.
As he entered his teen years, he dreamed of moving to America but struggled to find the funds.
Against all odds, he eventually made it to the U.S. – through scholarships, loans, and working two jobs simultaneously – where he graduated from college and launched his first business.
But not without more hardship – while starting his primary company in 1995, Musk became homeless and had to sleep on the couch in his office.
As he gears up to potentially purchase Twitter and expand is already-enormous list of business ventures, FEMAIL has taken a look back at his career from start to finish – including how he escaped his abusive father to how he started his first million-dollar company without even having a place to live.
Elon Musk’s childhood: How he overcame years of abuse from his ‘evil’ and ‘terrible’ father
Musk grew up with his mom, Maye, and his dad, Errol, and as his siblings – brother, Kimbal, and sister, Tosca. He is pictured (standing in the back) with his mom and siblings
Musk was born on June 28, 1971, in Pretoria, South Africa.
For the first eight years of his life, he lived with his mom, Maye – a dietician and a model from Canada – and his dad, Errol – a South African engineer – as well as his siblings – younger brother, Kimbal, and younger sister, Tosca.
He previously recalled his parents being absent for much of his childhood, revealing that he was often watched by a housekeeper.
‘I just had a housekeeper who was there to make sure I didn’t break anything,’ he recalled to Rolling Stone in a 2017 interview.
‘She wasn’t, like, watching me. I was off making explosives and reading books and building rockets and doing things that could have gotten me killed. I’m shocked that I have all my fingers.’
He fell in love with reading at a young age, and also credited ‘books’ with ‘raising him.’
As a young child, he had his adenoids – the lymphatic tissue located behind the nasal cavity – removed because doctors thought he was deaf.
However, his mother later realized that he could hear, and that he was just ‘in another world.’
The business mogul grew up wealthy, with his dad once claiming that they ‘had so much money, at times they couldn’t even close their safe.’
His parents divorced in 1980, and Musk went to live with his dad – which he later regretted.
‘It was not a good idea,’ he told the outlet, while reflecting on his decision to move in with his father.
Described as an ‘awkward and introverted’ kid, Musk (pictured left with his siblings and mother) was severely bullied by his classmates throughout his childhood
‘I felt sorry for my father, because my mother had all three kids. He seemed very sad and lonely by himself. So I thought, ‘I can be company.’
‘Yeah, I was sad for my father. But I didn’t really understand at the time what kind of person he was.’
He went on to call his dad a ‘terrible human being,’ adding that he ‘carefully thought-out plans of evil.’
‘You have no idea about how bad [it was],’ he continued. ‘Almost every crime you can possibly think of, he has done. Almost every evil thing you could possibly think of, he has done.’
He added that although Errol was emotionally abusive, he never physically hurt him.
In a statement to the outlet, Musk’s father wrote: ‘I love my children and would readily do whatever for them.’
He also responded to Musk’s claims during an interview with DailyMail.com months later, saying, ‘Elon needs to grow up. He needs to get over himself. I’m not going to hit back.
‘I’m going to wait until he comes to his senses. He’s having a tantrum, like a spoilt child. He can’t have what he wants and now I am apparently an evil monster.’
His parents divorced in 1980, and Musk went to live with his dad (pictured in 2014). But he later said his dad emotionally abused him and called him an ‘evil’ and ‘terrible human being’
Musk first became interested in computing and video games at age 10. By the time he was 12, he had already created his own video game – which he later sold to a company called Blastar for $500 after entering a local contest.
Described as an ‘awkward and introverted’ kid, Musk was bullied throughout his childhood.
It got so bad that he even had to be hospitalized after a group of his classmates threw him down the stairs at one point.
‘For the longest time, I was the youngest and the smallest kid in the class because my birthday just happens to fall on almost the last day that they will accept you into school, June 28,’ he recalled to Rolling Stone.
‘And I was a late bloomer. So I was the youngest and the smallest kid in class for years and years. … The gangs at school would hunt me down – literally hunt me down.’
He began taking karate, judo, and wrestling classes so he could learn to defend himself. And when he started to fight back, the bullying ended.
Musk moved to Canada in 1989. He attended Queen’s University in Ontario for two years before he graduated from the University of Pennsylvania in 1995 (pictured left that year)
After graduating from Pretoria Boys High School, he decided to apply for a Canadian passport so he could get closer to the United States. While waiting to be approved, he attended the University of Pretoria for five months.
When asked why he wanted to move to North America, he later told 60 Minutes, ‘It seemed like the vast majority of such things came from the United States.
‘I also read a lot of comic books, and they all seemed to be set in the United States. So it’s like, ‘Well, I’m going to go to this place.”
He moved to Saskatchewan, Canada, in 1989, where he lived with a second-cousin for about a year. During that time, he worked odd jobs at a farm and lumber-mill to get by.
The billionaire recalled his father telling him that he was ‘never going to make it’ right before he left.
‘[He said] I’m never going to make anything of myself. He called me an idiot all the time. That’s the tip of the iceberg, by the way,’ he told Rolling Stone.
He attended Queen’s University in Ontario for two years before he transferred to the University of Pennsylvania, where he graduated with a Bachelor of Arts degree in physics and a Bachelor of Science degree in economics in 1995.
During college, he interned at an energy storage company called Pinnacle Research Institute, and at the video game developer Rocket Science Games.
In 1995, he was accepted at Stanford University in California for a Ph.D. program, but dropped out two days into it.
A deeper dive into the Musk family: How his siblings earned their own fame and fortune
Musk’s mother (pictured in 2011) has been a model for more than 50 years now, appearing in campaigns for magazines like Time, New York Magazine, Elle Canada, Women’s Day, and Vogue
Musk’s mother has been a model for more than 50 years now, appearing in campaigns for magazines like Time, New York Magazine, Elle Canada, Women’s Day, and Vogue, and for brands like Special K, Revlon, and Target.
Maye later recalled realizing that Musk was a ‘genius’ at age three
She starred in Beyoncé’s music video for her hit song Haunted in 2013, and made history in 2017, when she became CoverGirl’s oldest spokesmodel at age 69.
She also wrote her own memoir in 2019, called A Woman Makes a Plan: Advice for a Lifetime of Adventure, Beauty, and Success.
While promoting the memoir, she recalled realizing that Musk was a ‘genius’ at age three.
‘Well at thee, I knew he was a genius, but you still don’t know if he’s going to do great things,’ she told CBS This Morning.
‘Because many geniuses end up in a basement being a genius but not applying it.’
In an essay for CNBC, Maye admitted to feeling guilty about ‘working full-time’ when her kids were young, but added that she ‘didn’t have a choice.’
‘Taking care of my children was the top priority; I worked hard to keep a roof over our heads, food in our stomach, and basic clothes on our back,’ she wrote.
She starred in Beyoncé’s music video for her hit song Haunted in 2013, and made history in 2017, when she became CoverGirl’s oldest spokesmodel at age 69. She is pictured in 2012
Musk’s siblings have launched major careers of their own. His brother, Kimbal (center), is a well-known restaurateur, chef, and entrepreneur, and his sister, Tosca (right) in a filmmaker
Musk’s siblings have launched major careers of their own over the years. His brother, Kimbal, is a well-known restaurateur, chef, and entrepreneur.
He owns The Kitchen Restaurant Group – a collection of restaurants located throughout Colorado, Chicago, and Indianapolis.
He also founded an urban farming company called Square Roots, which focuses on growing food in indoor, climate controlled shipping containers.
He also sits on the boards of two of his older brother’s companies – Tesla and SpaceX – and he helped co-found the software company Zip2 with him in 1995.
He was married twice – first, to a woman named Jen Lewin whom he shares three kids with.
He then married Christiana Wyly in April 2018, who is an environmental activist and the daughter of billionaire Sam Wyly.
As for Musk’s sister, Tosca works as a filmmaker in South Africa and has made quite a name for herself in the movie industry.
She directed her first feature film, called Puzzled, in 2001 – and her older brother served as the film’s executive producer. She has since produced over a dozen movies, TV shows, and web series.
Musk’s growing business empire: How he went from a nerdy kid in South Africa to a billionaire mogul
In 1995, Musk founded a web software company called Zip2 with his brother, Kimbal, and businessman Greg Kouri.
In 1995, Musk founded a web software company called Zip2 with his brother, Kimbal, and businessman Greg Kouri. He is pictured in 1995
The company was funded by angel investors and it created an online guide which provided newspapers with maps, directions, and yellow pages.
And the tech mogul wants people to know that his dad did not help him start his first business.
‘One thing [my dad] claims is he gave us a whole bunch of money to start, my brother and I, to start up our first company. This is not true,’ he told Rolling Stone in 2017.
‘He was irrelevant. He paid nothing for college. My brother and I paid for college through scholarships, loans and working two jobs simultaneously.
‘The funding we raised for our first company came from a small group of random angel investors in Silicon Valley.’
While working on the company, Musk later revealed that he couldn’t afford to pay rent, so he often slept on a couch in his office and showered at the local YMCA.
‘When my brother and I were starting our first company, instead of getting an apartment, we just rented a small office and we slept on the couch,’ he said in 2014.
‘We showered at the YMCA and we were so hard-up that we only had one computer.’
It’s been said that when he and Kimbal disagreed on business matters, they would settle them by wrestling.
He recalled working on the website ‘seven days a week, all the time,’ and would often stay up all night coding it.
Eventually, Zip2 was purchased by Compaq for $307 million in 1999. Through the sale, Musk received $22 million for his seven per cent share.
He then went on to co-found X.com – an online financial service. It took off pretty quickly – earning more than 200,000 customers during its initial months of operation.
He then went on to co-found X.com – an online financial service. It took off quickly – earning more than 200,000 customers during its initial months of operation. Musk is pictured in 2000
The company eventually merged with Confinity – who owned PayPal – and in 2000, Musk was replaced as CEO with Confinity founder Peter Thiel. The company then renamed X.com to PayPal, and sold it to eBay for $1.5 billion. Musk and Thiel are pictured in 2000
The company eventually merged with Confinity – who owned PayPal – and in 2000, Musk was replaced as CEO with Confinity founder Peter Thiel.
The company then renamed X.com to PayPal, and sold it to eBay for $1.5 billion. Musk was still the largest shareholder at the time, and received $175.8 million from the sale.
After becoming inspired by Mars Society’s plans to place a small greenhouse on Mars and grow plants on the planet, Musk tried to obtain refurbished missiles from Russia.
However, after he was told that he’d have to pay $8 million to purchase the missiles, he decided to start a company that could build its own affordable rockets – and SpaceX was born.
‘After my second or third trip back from Russia, I was like, ‘Whoa, there’s got to be a better way to solve this rocket problem,” he said at the 2018 South by Southwest conference.
Convinced that he could bring down the cost of getting to space, he teamed up with rocket engineer Tom Mueller to found SpaceX in 2002 – originally called Space Exploration Technologies Corp. – using $100 million of his previous fortune.
SpaceX launched its first rocket, called Falcon 1, in 2006, but it failed to reach Earth’s orbit.
After becoming inspired by Mars Society’s plan to place a small greenhouse on Mars and grow plants on the planet, Musk (pictured in 2004) tried to obtain refurbished missiles from Russia
However, after he was told that he’d have to pay $8 million to purchase the missiles, he decided to start a company that could build its own affordable rockets – and SpaceX was born
The company has gone on to release a series of space transportation devices, and has become one of the most successful aerospace manufacturers in the world
Musk invested $6.5 million – becoming the majority shareholder – in Tesla Motors in 2004, an electric car company. He became CEO in 2008
The company faced two more failed attempts before it successfully made it into orbit in 2008.
The company has gone on to release a series of space transportation devices, including the Falcon 9 rocket, and has become one of the most successful aerospace manufacturers in the world.
SpaceX has also launched its own satellite internet constellation called Starlink – which provides internet coverage to 29 countries on Earth.
Musk invested $6.5 million – becoming the majority shareholder – in Tesla Motors in 2004, an electric car company.
He then became heavily involved in the company and was promoted to CEO in 2008.
Tesla’s stock has continuously risen since its first initial public offering in 2010, and as of 2020, it was considered the most valuable carmaker in the world. In October 2021, it reached a market capitalization of $1 trillion.
In 2016, Tesla acquired SolarCity – a solar energy company created by Musk’s cousins Lyndon and Peter Rive – and together, they created Tesla Energy.
Inside Musk’s rollercoaster love life: How he has fathered seven children with two women and gone through multiple divorces
Musk and his first wife, Justine Wilson, met while they were both attending Queen’s University, and they tied the knot in 2000
They couple tragically lost their 10-week old son, Nevada Alexander, in 2002, when he died of Sudden Infant Death Syndrome. Musk is pictured with his triplets, who were born in 2006
Musk’s love life has been heavily covered in the media throughout his career – going through multiple divorces (including two with the same wife he married twice) and welcoming seven kids along the way.
He and his first wife, Justine Wilson, now 49, met while they were both attending Queen’s University, and they tied the knot in 2000.
While discussing the day they first met, Wilson described Musk as a ‘clean-cut, upper-class boy with a South African accent who appeared in front of her one afternoon as she was leaping up the steps to her dorm,’ during an essay for Marie Claire, which was written in 2010.
‘He said we’d met at a party I knew I hadn’t been to. (Years later, he would confess that he had noticed me from across the common room and decided he wanted to meet me.)
‘He invited me out for ice cream. I said yes, but then blew him off with a note on my dorm-room door.
‘Several hours later, my head bent over my Spanish text in an overheated room in the student center, I heard a polite cough behind me.
‘Elon was smiling awkwardly, two chocolate-chip ice cream cones dripping down his hands. He’s not a man who takes no for an answer.’
They then welcomed twins Griffin and Xavier (pictured with Musk and his second wife, Talulah Riley, in 2010), in 2004, and triplets Kai, Saxon, and Damian, in 2006
Their five children have largely managed to remain out of the spotlight. Twins Griffin and Xavier are pictured with Musk and his second wife, Talulah, in 2010
They couple tragically lost their 10-week old son, Nevada Alexander, in 2002, when he died of Sudden Infant Death Syndrome (SIDS).
They then welcomed twins Griffin and Xavier, now 17, in 2004, and triplets Kai, Saxon, and Damian, now 15, in 2006; all five of the children were conceived via IVF.
In her essay, Wilson recalled feeling more like an ’employee’ than a ‘wife’ to Musk.
‘He had grown up in the male-dominated culture of South Africa, and the will to compete and dominate that made him so successful in business did not magically shut off when he came home,’ she explained.
‘This, and the vast economic imbalance between us, meant that in the months following our wedding, a certain dynamic began to take hold.
‘Elon’s judgment overruled mine, and he was constantly remarking on the ways he found me lacking. ‘I am your wife,’ I told him repeatedly, ‘not your employee.’
”If you were my employee,’ he said just as often, ‘I would fire you.”
She said that what ultimately led to their divorce in 2008 was a car accident, where her first thought was, ‘My husband is going to kill me.’
She added: ‘In my mind’s eye, I could suddenly see myself: a woman who’d gotten very thin, and very blonde, stumbling out of a very expensive car with the front-left wheel smashed in.
‘I barely recognized myself. I had turned into a trophy wife – and I sucked at it. I wasn’t detail-oriented enough to maintain a perfect house or be a perfect hostess.
Musk and Wilson split in 2008. Twins Griffin and Xavier are pictured with Musk and his second wife, Talulah, in 2015
It was revealed in 2018 that all of boys were being educated at a radical, ultra-exclusive school set up by the Tesla founder at his SpaceX headquarters. His son Saxon is pictured in 2017
As of 2018, the ‘experimental school’ was being attended by a very small, select group of students, including Musk’s five sons. Kai (left) and Damian (right) are pictured in August 2017
‘I could no longer hide my boredom when the men talked and the women smiled and listened. I wasn’t interested in Botox or makeup or reducing the appearance of the scars from my C-sections.
‘And no matter how many highlights I got, Elon pushed me to be blonder. ‘Go platinum,’ he kept saying, and I kept refusing.
‘Not long after the accident, I sat on our bed with my knees pulled up to my chest and tears in my eyes. I told Elon, in a soft voice that was nonetheless filled with conviction, that I needed our life to change.
‘I didn’t want to be a sideline player in the multimillion-dollar spectacle of my husband’s life. I wanted equality. I wanted partnership. I wanted to love and be loved, the way we had before he made all his millions.’
After one month of counseling, Musk filed for divorce. As of 2010 when the essay was written, Wilson said she and Musk were ‘estranged,’ but that she did not regret their relationship.
‘Although I am estranged from Elon – when it comes to the children, I deal with his assistant – I don’t regret my marriage,’ she wrote.
‘I’ve worked through some anger, both at Elon for rendering me so disposable, and at myself for buying into a fairy tale when I should have known better.
‘But I will always respect the brilliant and visionary person that he is. I also can’t regret the divorce (our case was bifurcated, which means that even though the property issues aren’t settled, our marriage is legally dead).
Following his split from Justine, Musk began dating British star Talulah Riley, who is most known for her role in Pride & Prejudice. They are pictured in 2012
‘Elon and I share custody of the children, who are thriving. I feel grounded now, and deeply grateful for my life.’
Their five children have largely managed to remain out of the spotlight, although it was revealed in 2018 that all of boys were being educated at a radical, ultra-exclusive school set up by the Tesla founder at his SpaceX headquarters in Hawthorne, California.
The ‘experimental’ school, which is called Ad Astra, meaning ‘to the stars’ in Latin, was set up in 2014.
It was said that they met at a bar in London, with Ashlee Vance writing in her book Elon Musk: Tesla, SpaceX, and the Quest for a Fantastic Future, that they ‘hit it off immediately.’ They are pictured in 2013
As of 2018, it was being attended by a very small, select group of students, including Musk’s five sons and the offspring of several SpaceX employees.
Although few details about the school’s methods have been revealed, some reports suggest that its students are subjected to a host of very unconventional teaching techniques.
Previous reports on Ad Astra also stated that the children are allowed to skip any subjects they don’t like, spend time building flamethrowers and learn how to ‘defeat evil A.I.s.’
Musk created Ad Astra to ‘exceed traditional school metrics on all relevant subject matter through unique project-based learning experiences,’ according to a previously unreported document filed with the IRS and uncovered by tech-focused publication Ars Technica.
Following his split from Wilson, Musk began dating British star Talulah Riley, who is most known for her roles in Pride & Prejudice, St. Trinian’s, Fritton’s Gold, The Boat That Rocked, Inception, Westworld, and Bloodshot.
It was said that they met at a bar in London, with Ashlee Vance writing in her book, Elon Musk: Tesla, SpaceX, and the Quest for a Fantastic Future, that they ‘hit it off immediately.’
‘I remember thinking that this guy probably didn’t get to talk to young actresses a lot and that he seemed quite nervous,’ Riley said of the night they met.
‘I decided to be really nice to him and give him a nice evening. Little did I know that he’d spoken to a lot of pretty girls in his life.’
Rile, now 36 – who was a virgin when she began dating Musk in 2008 – first tied the knot with the Tesla architect in 2010.
Riley, now 36, first tied the knot with Musk in 2010, but they split in 2012, when she walked away with $16 million as part of a divorce settlement. They are pictured in 2011
They remarried the next summer. In March 2016, RIley requested a divorce again, and the pair split for good. They are pictured in 2014 (left) and 2015 (right)
However, their first marriage ended in 2012, when she reportedly walked away with $16 million as part of a divorce settlement.
‘It was an amazing four years. I will love you forever. You will make someone very happy one day,’ he tweeted at the time.
By the following summer, they had remarried. But then, in December 2014, she filed for divorce a second time, only to withdraw her lawsuit the following year.
In March 2016, Riley requested a divorce a third time, and the pair split for good; the couple did not have any children together.
Musk told Forbes at the time, ‘We took some time apart for several months to see if absence makes the heart grow fonder, and unfortunately it did not.
‘I still love her, but I’m not in love with her. And I can’t really give her what she wants.’
He also called her ‘a great woman’ and said he will ‘always be friends’ with her.
At the time, he said he had no interest in marrying again for a while, adding, ‘I think it would be extremely unwise for me to jump into a third marriage without spending considerable time figuring out if the third one will work.
‘It was never my intention to have a short marriage. Essentially I’d want to be super sure before getting married again, but I certainly would love to be in a relationship. For sure.’
Musk dated actress Amber Heard, 35, for several months in late 2016 and early 2017, after he reportedly pursued her for many years.
Musk dated Amber Heard (pictured in 2017) for several months in late 2016 and early 2017. After they split, he said he was ‘really in love’ with Heard and that their breakup ‘hurt bad’
Heard’s ex-husband Johnny Depp later accused Amber of cheating on him with Musk while they were still married, but both of Musk and Heard denied the affair. They are pictured in 2017
Heard’s ex-husband Johnny Depp later accused Heard of cheating on him with Musk while they were still married, but both Musk and Heard denied the affair.
They split in the summer of 2017, and afterwards, he told Rolling Stone in 2017 that he was ‘really in love’ with Heard and that their breakup ‘hurt bad.’
‘She broke up with me more than I broke up with her, I think,’ he told the outlet at the time.
‘I’ve been in severe emotional pain for the last few weeks. Severe. It took every ounce of will to be able to do the Model 3 event and not look like the most depressed guy around. For most of that day, I was morbid.’
He continued, ‘If I’m not in love, if I’m not with a long-term companion, I cannot be happy.
‘I will never be happy without having someone. Going to sleep alone kills me. It’s not like I don’t know what that feels like: Being in a big empty house, and the footsteps echoing through the hallway, no one there – and no one on the pillow next to you. F**k. How do you make yourself happy in a situation like that?’
Musk then began dating singer Grimes in April 2018, a month before they made their red carpet debut at the Met Gala.
A source told Page Six at the time that they met online ‘through a joke about artificial intelligence that Musk had planned to tweet, but discovered Grimes had already made.’
Musk and singer Grimes began dating in April 2018 after reportedly meeting online, a month before they made their red carpet debut at the Met Gala (pictured)
Rumors started to swirl that they had split by that fall, however, Grimes insisted that they were still together during a March 2019 interview. She and Musk are pictured in 2018
Then, in January 2020, she announced that she was pregnant with their first child via Instagram. They then welcomed their son, whom they call X, in May of the same year
Rumors started to swirl that they had split by that fall, after the pair unfollowed each other on Twitter, however, Grimes insisted that they were still together during a March 2019 interview with Wall Street Journal.
Then, in January 2020, she announced that she was pregnant with their first child via Instagram, when she shared a pic of her baby bump, with no caption.
They then welcomed their son in May of the same year, who they named X Æ A-12, but they call him ‘X’ for short.
Describing her role in her son’s life, Grimes told Vanity Fair that she has taken responsibility for ‘handling his creative stuff,’ while she notes that Musk ‘really sees [X] as a protégé.’ Musk and X are pictured in February 2021
‘Describing her role in her son’s life, Grimes told Vanity Fair that she has taken responsibility for ‘handling his creative stuff,’ while she notes that Musk ‘really sees [X] as a protégé.’
Just over a year after welcoming their son, who now 23 months old, Musk told Page Six that they were ‘semi-separated.’
‘We are semi-separated but still love each other, see each other frequently and are on great terms,’ he said in September 2021.
‘It’s mostly that my work at SpaceX and Tesla requires me to be primarily in Texas or traveling overseas and her work is primarily in LA. She’s staying with me now and Baby X is in the adjacent room.’
Grimes relocated in December from her home in Los Angeles to a property in Austin, Texas, where she is currently residing in a ‘sleepy neighborhood cul-de-sac’ that is located ‘a short drive’ away from Tesla’s factory.
They then welcomed their second child via surrogate that same month – a baby girl named Exa Dark Sideræl.
According to the singer, the newborn’s quirky first name, Exa, was inspired by the supercomputing term exaFLOPS, which is ‘the ability to perform one quintillion floating-point operations per second,’ while her second name Dark, is a nod to dark matter and ‘the unknown.’
‘People fear it but truly it’s the absence of photons. Dark matter is the beautiful mystery of our universe,’ she told the magazine.
Finally, Sideræl, which is pronounced sigh-deer-ee-el, is a ‘more elven spelling’ of sidereal, which Grimes described as ‘the true time of the universe, star time, deep space time, not our relative earth time.’
Their daughter’s third name is also a reference to Grimes’ favorite Lord of the Rings character, the elf Galadriel. The couple will call their baby daughter ‘Y’ for short.
They then welcomed their second child via surrogate that same month – a baby girl named Exa Dark Sideræl
Grimes said she wants to keep her daughter’s life as private as possible – unlike her son X (pictured in November 2021) who has been featured numerous times on his father’s social media
During the time of the Vanity Fair interview, Grimes said she ‘would probably refer to Musk as her boyfriend,’ adding that the relationship was ‘very fluid.’
She said: ‘We live in separate houses. We’re best friends. We see each other all the time…. We just have our own thing going on, and I don’t expect other people to understand it. This is the best it’s ever been…. We just need to be free.’
However, after it came out, she took to Twitter to reveal that they had since broken up.
‘Me and E have broken up *again* since the writing of this article,’ she wrote on March 10. ‘But he’s my best friend and the love of my life.’
Both Grimes and Musk noted to Vanity Fair that their current separate living situation is the best for both of them, explaining that they each have very different needs and likes when it comes to creating a home.
While Musk likes things to be ‘reasonably neat,’ Grimes is described as taking a more creative, artistic approach to her home. She also enjoys Japanese art and anime, which the Tesla founder explained he ‘doesn’t like.’
Grimes said she was determined to keep her daughter’s life as private as possible – unlike her son X who has been featured numerous times on his father’s social media accounts, and has been seen out in public with his parents on several occasions.
She noted that her son ‘out there’ because Musk has been ‘bringing him to everything,’ however she doesn’t want her daughter to have the same attention. Musk and X are pictured in December 2021
During the time of the Vanity Fair interview, Grimes said she ‘would probably refer to Musk as her boyfriend.’ However, after it came out, she took to Twitter to reveal they had broken up
She noted that her son ‘is just out there,’ largely because Musk has been ‘bringing him to everything,’ however she is eager to ensure that her daughter will not have to face the same public scrutiny, even stating that ‘the best situation’ for the parents would be for ‘her to train the girl’ and for ‘him to train the boy.’
‘Didn’t mean for them to find out about my daughter so please respect her privacy as I’d love her to be able to live as private of a life as possible,’ she added on Twitter, while discussing the article.
‘This is the last time I’ll do any traditional press [cause] I’m a pretty private person. Haven’t done press in a long time [cause] my personal life is so mad and I think it’s hard to foreground my work but also maybe it’s all intertwined at this point.’
Aside from his complex dating life, Musk’s living condition is also somewhat of a mystery.
It is currently unclear where exactly the business mogul – who has an estimated net worth of around $221 billion – is living.
He announced last year that he was ‘selling almost all physical possessions,’ including several California properties amounting to more than $100 million – and $15 billion worth of Tesla stock.
He purportedly then moved into a 75-square-foot $50,000 ‘Tiny House’ close to SpaceX’s Starbase rocket-launch site in Boca Chica, Texas.