Written by Sinad Karahimetovic
Billionaire investor Carl Icahn has amassed a stake worth over $500 million in Twitter Inc (NYSE:) Prior to Elon Musk’s turnaround yesterday sent stocks higher.
The Wall Street Journal reports that Icahn has been building a stake in Twitter in the past few months, thus betting that Musk will somehow acquire the social media company. The report added that Icahn was buying Twitter stock in the mid-1930s via Icahn Enterprises LP, which means he could potentially make more than $250 million.
Twitter stock jumped more than 22% yesterday to close at $52.00 after Elon Musk notified the social media company that he intended to close the $44 billion deal at the original price. Other large hedge funds, such as DE Shaw Group and Daniel Loeb’s Third Point LLC, have also made big bets on Twitter in recent months.
Icahn’s opinion was that Musk would not go to trial because he seemed likely to lose. Twitter also considered a long-term investment should Musk win in court, considering Icahn was buying shares in the mid-1930s.
Musk tweeted last night: “Buying Twitter is accelerating the creation of X, applying everything.”