{"id":24021,"date":"2022-04-13T12:30:40","date_gmt":"2022-04-13T16:30:40","guid":{"rendered":"https:\/\/coinscreed.com\/staging\/?p=24021"},"modified":"2022-04-13T12:30:48","modified_gmt":"2022-04-13T16:30:48","slug":"twitter-shareholders-sue-elon-musk","status":"publish","type":"post","link":"https:\/\/coinscreed.com\/staging\/twitter-shareholders-sue-elon-musk\/","title":{"rendered":"Twitter shareholders sue Elon Musk for failure to disclose his stake"},"content":{"rendered":"\n
Elon Musk<\/a> was sued on Tuesday by former Twitter shareholders who claimed they missed out on the recent run-up in stock price because he waited too long to disclose a 9.2% stake in the social media company.<\/h5>\n\n\n\n
\"Twitter
Twitter shareholders sue Elon Musk for failure to disclose his stake<\/figcaption><\/figure><\/div>\n\n\n\n

Twitter\r\n \r\n \r\n \r\n <\/g>\r\n \r\n \r\n \r\n <\/clipPath>\r\n <\/defs><\/svg><\/span><\/a> (NYSE: TWTR) shareholders are suing Elon Musk for failing to disclose that he had purchased a big investment in the company, which influenced the stock price.<\/p>\n\n\n\n

Musk was required by federal law to notify the US Securities and Exchange Commission <\/a>(SEC) within 10 days of purchasing a 5% stake in Twitter, according to the court filings.<\/p>\n\n\n\n

The Tesla CEO had been buying shares since January and had purchased 5% of the business by March 14, requiring him to notify the Securities and Exchange Commission by March 24. According to SEC requirements, most people who acquire an interest of 5% or more in a corporation must record their ownership in a Schedule 13G filing within ten days of the transaction.<\/p>\n\n\n\n

Musk continued to collect shares after telling the SEC, according to the complaint. On April 4, the Securities and Exchange Commission (SEC) released a document showing that he had purchased more than 9% of Twitter's stock<\/a>.<\/p>\n\n\n\n

As a result, Musk is regarded as one of Twitter's significant shareholders, with a holding greater than that of Jack Dorsey, the company's co-founder, and previous CEO. The value of the company's stock surged by more than 25% when the news was made public.<\/p>\n\n\n\n

Investors miss out on stock price appreciation<\/h2>\n\n\n\n

According to the lawsuit<\/a>, investors who sold their shares around the time Musk was scheduled to reveal his position missed out on the market reaction's share price gain and “were harmed as a result.”<\/p>\n\n\n\n

“By omitting to report his ownership holding, Musk was able to acquire shares of Twitter at a lower cost” after the March 24 deadline, according to the complaint.<\/p>\n","protected":false},"excerpt":{"rendered":"

Elon Musk was sued on Tuesday by former Twitter shareholders who claimed they missed out on the recent run-up in stock price because he waited too long to disclose a 9.2% stake in the social media company. Twitter (NYSE: TWTR) shareholders are suing Elon Musk for failing to disclose that he had purchased a big […]<\/p>\n","protected":false},"author":12,"featured_media":24026,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[21],"tags":[223,2191,8835,8834],"class_list":["post-24021","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news","tag-elon-musk","tag-shares","tag-stock","tag-twitter-shareholders"],"jetpack_featured_media_url":"https:\/\/coinscreed.com\/staging\/wp-content\/uploads\/2022\/04\/image-98.png","jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/posts\/24021","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/users\/12"}],"replies":[{"embeddable":true,"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/comments?post=24021"}],"version-history":[{"count":0,"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/posts\/24021\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/media\/24026"}],"wp:attachment":[{"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/media?parent=24021"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/categories?post=24021"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/coinscreed.com\/staging\/wp-json\/wp\/v2\/tags?post=24021"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}