Elon Musk has sold nearly 7.9 million shares of Tesla (TSLA) worth approximately $6.86 billion, according to a filing with the U.S. Securities and Exchange Commission (SEC) on Tuesday night. The transactions occurred on August 5, 8, and 9. Musk confirmed on Twitter that he has finished selling Tesla stock for now, stating: “In the (hopefully unlikely) event that Twitter forces this deal to close *and* some equity partners don’t come through, it is important to avoid an emergency sale of Tesla stock.”
Background: The Twitter Acquisition Saga
In April, Musk offered to buy Twitter Inc. for approximately $44 billion. However, he officially terminated the deal in early July, alleging that “Twitter is in material breach of multiple provisions of that agreement.” Twitter subsequently sued Musk to force him to complete the acquisition, and Musk countersued, accusing the social media giant of fraud. The central dispute revolves around Twitter’s claim that less than 5% of its daily active users are fake or spam accounts — a figure Musk has publicly disputed. He even challenged Twitter CEO Parag Agrawal to a public debate over the platform’s bot problem.
Earlier in May, Musk revealed that he had secured equity commitments from 18 companies, including Sequoia Capital Fund, Binance, Andreessen Horowitz (a16z), and Fidelity, to fund the Twitter purchase. But with the deal now mired in legal uncertainty, Musk is taking precautions to ensure he doesn’t have to dump Tesla shares at a loss if a court forces him to close the transaction but some partners back out.
Musk’s Pledge to Buy Back TSLA Shares
In a reply to a Tesla investor on Twitter, Musk said he is done selling and will buy Tesla stock again if the Twitter deal does not go through. He also hinted at alternative plans: when asked whether he would consider creating his own social platform if the Twitter deal collapses, Musk simply replied “X.com,” referencing his former online payment and social media venture.
Musk does not sell Tesla shares frequently. Prior to this latest sale, he sold 9.6 million Tesla shares in April, worth about $8.5 billion at the time. After that sale, he tweeted on April 28 that he had “No further TSLA sales planned.” The latest transactions break that pledge, underscoring the high stakes of the Twitter legal battle.
Market Reaction and Crypto Community Interest
Tesla’s stock price saw some volatility following the news but remained relatively stable. Analysts note that while the sell-off may create short-term downward pressure, Musk’s commitment to repurchase shares if the Twitter deal falls through provides a potential floor. Meanwhile, the legal battle between Musk and Twitter is set for a fast-track trial in the Delaware Court of Chancery in October. If Musk prevails, he could walk away from the acquisition; if he loses, he might be forced to buy Twitter at $44 billion.
Although this news centers on traditional equity markets, the crypto community remains attentive due to Musk’s history of influencing cryptocurrency prices (especially Dogecoin) and speculation that he may integrate cryptocurrencies into Twitter’s future payment system. Musk’s financial maneuvering continues to blur the lines between tech, finance, and digital assets.