Elon Musk, who fell out of Bloomberg’s list of the world’s richest people this week, sold his Tesla stake for the fourth time this year.
Tesla’s CEO sold about 22 million shares for $3.58 billion, according to documents filed late Wednesday in the United States.
Tesla shares have plunged 55% this year as investors grow increasingly concerned about Musk’s $44 billion acquisition of Twitter. There are also growing concerns that rising interest rates will make cars more expensive for consumers and demand problems in China, Tesla’s biggest market after the US.
Over the weekend, Musk, who is eager to get involved on the social media platform he now owns, attacked a former Twitter executive and tweeted a conspiracy theory that made even his longtime fans uneasy. .
Musk tried for months to get out of the Twitter deal, but failed. To raise enough cash for the purchase, he offloaded more than $15 billion of his Tesla stock. About $8.5 billion in April and another $6.9 billion in August.
In November, he gave away another $3.95 billion in stock after vowing to complete the sale.
Twitter has new and significant payment obligations.
Musk used a large amount of debt, which is currently on Twitter’s balance sheet, to finance the acquisition. Twitter’s debt has jumped to about $13 billion from $1.7 billion before the transaction, along with other types of bonds that can be converted into stock.
Twitter is currently facing interest payments approaching $1.2 billion annually, which could be higher given that interest rates on about half of its debt are not locked in and will rise with the market. be.
“At the risk of being outspoken, but watch out for debt in turbulent macroeconomic conditions, especially when the Fed continues to hike rates,” Musk tweeted this week.
Mr. Musk’s recent sales have shrunk his stake in the company to about 13%, according to Bloomberg data.
Musk, who has been Tesla’s CEO since 2008, is still the largest shareholder.
As of the end of Wednesday, his fortune was $160.9 billion, second only to France’s Bernard Arnault on the Bloomberg Billionaires Index.
His fortune has decreased by $109.4 billion this year.