Tesla Inc (NASDAQ:TSLA) CEO Elon Musk picking up a stake in Twitter Inc (NYSE:TWTR) could lead to a management shakeup at the microblogging site, Bloomberg News reported on Monday, citing the popular stock picker Cathie Wood.
What Happened: Wood said the billionaire entrepreneur is sending a “strong signal” to Twitter CEO Parag Agrawal.
“This could be setting up for another leadership change,” the report noted, citing Wood.
The 37-year old Agrawal was named top boss at Twitter in November, replacing founder Jack Dorsey.
See Also: Biggest Shareholders Of Twitter Stock After Elon Musk? Here Are The Top 10
Musk Builds Twitter Stake: The world’s richest man has taken a 9.2% passive stake estimated to be worth $2.8 billion in Twitter, a US Securities and Exchange Commission filing showed Monday. The news sent Twitter shares 27% higher.
Musk last week indicated he might attempt to shake up the social media industry. The EV and space entrepreneur on Monday created another social media flutter when he asked his 80.3 million followers on Twitter if they wanted an “edit button.”
Wood’s investment firm Ark Investment Management holds a significant stake in Tesla. The popular stock picker has been selling shares on Twitter.
Price Action: Twitter stock rallied 27% to $49.9 in the regular session on Monday, according to Benzinga Pro data.
