Elon Musk currently estimates the value of Twitter at 20,000 million dollars, compared to 44 five months ago when the social network was acquired by the businessman, according to an internal document consulted by various US media.
The internal letter to employees concerned profit-sharing within the San Francisco group and allocation of shares in X Holdings, the company that has overseen Twitter since its acquisition in late October.
“Losing $3 Billion a Year”
In the internal document, Elon Musk justifies the brutal contraction of the valuation due to the financial difficulties that the group is experiencing, for a time on the verge of declaring bankruptcy, according to him.
According to him, this figure is explained by a turnover loss of 1,500 million dollars and debt maturities for an equivalent amount.
“A difficult but clear path”
“But now that advertisers are coming back, it looks like we’re going to break even in the second quarter” of 2023, the Twitter chief executive and majority shareholder said.
Since taking control, Elon Musk has reduced the group’s workforce from 7,500 to fewer than 2,000 employees by resorting to successive waves of layoffs.
In the internal document, Elon Musk says he sees “a difficult but clear path” to a valuation of the group around $250 billion, without mentioning a time frame.
The man who also runs Tesla and the SpaceX aerospace group announced that Twitter would open a window every six months that would allow employees of the social network to sell their titles, which are no longer listed.
Source: BFM TV
