Elon Musk’s team has reached out to investors to raise new funds for his struggling social media platform Twitter, one of the investors said.
According to Reuters, a representative of Elon Musk called Ross Gerber, president and chief executive officer of Gerber Kawasaki Wealth & Investment Management, about offering additional shares at the same price, $54.20, that Musk paid to take the firm private in October.
According to two persons acquainted with the fundraising campaign, Jared Birchall, the managing director of Elon Musk's family office, contacted possible investors this week, according to news outlet Semafor.
Either Twitter nor Musk did not answer requests for comments from Reuters.
Advertisers have left Twitter due to concerns about Musk's method of monitoring messages, which has hurt sales and Twitter's capacity to make interest payments on the $13 billion loan Musk took out to acquire the social media business.
Earlier this week, Musk sold further Tesla shares worth $3.6 billion, bringing the total amount sold this year to above $40 billion.
On Friday, Tesla stock had its worst weekly fall since March 2020 as investors grew more concerned about Musk's propensity for being sidetracked by Twitter and the deteriorating global economy.
