It is reported that Ron Baron, CEO of Baron capital and one of Tesla's largest shareholders, said today that Tesla CEO Elon Musk acquired twitter at an "incredibly low price" and will receive about three times the return in the next few years.
Barron had previously been skeptical of Musk's acquisition of twitter, saying it was "meaningless". But he said today that after two days of preliminary investigation, he found the plan very interesting.
"If successful, I expect returns of two to three times or more over the next four to five years. Given Twitter's poor operation, such an acquisition price is really cheap, even incredible," Barron said
Earlier today, twitter said in a document submitted to the securities and Exchange Commission (SEC) that musk had obtained an additional financing commitment of about $7.1 billion to finance the acquisition of twitter.
Among them, bamco, a subsidiary of balun capital, promised to provide us $100 million.
Last month, after musk announced that he had 73486938 twitter shares, accounting for 9.2%, and became the largest shareholder of twitter, Barron once despised it. "For a person worth hundreds of billions of dollars, this investment is insignificant," he said
But shortly afterwards, musk proposed to buy twitter for $54.20 per share in cash. On April 25, twitter announced that it had reached a sale agreement with musk, which is expected to be completed by the end of this year.
It is also reported today that musk is expected to temporarily serve as twitter CEO for several months after completing the $44 billion acquisition of twitter.