Elon Musk’s bid to buy Twitter for $54.20 a share and take the company private has dominated the headlines for the past few days, with some supporting the tech billionaire’s takeover attempt and others raising concerns about what it might mean could mean for the future. Fellow tech entrepreneur Mark Cuban is one of the last to comment on the matter — and he believes Musk’s bid for the social media platform is just his latest swipe at the US Securities and Exchange Commission.
Musk has been in hot water with the SEC since tweeting that he “secured the funding” to take Tesla private in 2018 for $420 a share. The SEC claimed he made untrue and misleading statements about the state of the electric car company’s finances, and the ensuing settlement fined Tesla $20 million and Musk $20 million, which both to be paid to Tesla shareholders for a total payout of $40 million. The SEC also imposed a “consent order” on the billionaire, requiring a Tesla attorney to review his tweets before they are posted online. Musk says the SEC never paid, which is why his legal team is trying to end the settlement.
See also: SEC investigates Elon Musk and his brother for insider trading
Cuban notes that Musk’s Twitter offering mirrors the tweet that got him in trouble a few years ago; In the letter Musk sent, as disclosed in a securities filing, the Tesla and SpaceX founder wrote that “Twitter needs to be transformed into a private company.” Some have also theorized that Musk’s price per share — $54.20 — is a hoax.
“My bottom line: @elonmusk is f—king at the SEC.” Cuban tweeted. “His filing with the SEC allows him to say he wants to take a company private for $54.20, as opposed to his ‘I’m considering taking Tesla private for $420. The price rises, his shares are sold, profit [up] SEC like WTF just happened.”
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In a series of previous tweets, Cuban said he believes Musk’s offer has opened the door for other tech giants to make their moves and that Twitter will do everything in its power to avoid a sale.
Twitter was down 1.68% as of 10:33am ET today.
https://www.entrepreneur.com/article/424892 Mark Cuban says Elon Musk’s Twitter bid has an ulterior motive