Posted on 02/29/2020 5:51:11 PM PST by bitt
A major Republican donor has purchased a stake in Twitter and is reportedly seeking to oust its chief executive, Jack Dorsey.
Bloomberg News first reported that Elliott Management has taken a sizable stake and and plans to push for changes at the social media company, including replacing Dorsey.
Paul Singer, the billionaire founder of Elliott Management, is a Republican mega-donor who opposed Donald Trump during the real-estate magnates run for the presidential nomination but has since come onside.
After a White House visit in February 2017, Trump said Singer was very much involved with the anti-Trump or, as they say, Never Trump, and Paul just left, and hes given us his total support and its all about unification.
Trump famously communicates with the public largely through Twitter, at the expense of traditional media strategy.
Twitter made headlines in October when it announced a ban on political advertising. Its use and potential manipulation by politicians of all stripes, from Trump to Democratic candidate Mike Bloomberg, remains a source of fierce contention.
Dorsey, a co-founder of Twitter, is also chief executive of Square, an online payment company. In November, he announced a plan to live and work in Africa for part of each year.
(Excerpt) Read more at theguardian.com ...
You have to buy an awful lot of a companys stock to have a sizable stake.
Not exactly my area of expertise but there aren't laws restricting how much of the stock of a public company you can buy.
I think there are some reporting requirements if you exceed 10% or so, but that's it.
As a practical matter it's very hard to buy enough this way to gain control, but as an activist investor if you own 10% and team up with other like-minded investors who also hold a material stake you can bring real pressure and probably get a position on the board.
In this case it will depend on how loyal the board is.
I’m more familiar with VIG, but I haven’t used that in a long time.
It’s a form of predatory lending :)
I actually don’t know who Mr 50 cent guy is.
About $TSLAD - there’s still timee.
on twitter he is referenced as 50 cent . There are news articles on him. been around for years.
not always successful..but has been every time I have seen his trades.
And I am familiar with Vig (not the loan kind)...I call it juice that Bookies in Vegas get on my bets. Bookies are a constant source of amazement to me at how often they can screw you over by 1/2 point on the spread..somehow they just know
The guy that runs Southpoint Jimmy Vaccaro looks like he could be a mob movie.
https://twitter.com/JimmyVaccaro
Wow thanks.
I have a much clearer picture now.
It’s amazing how you can do certain things for 30 years or so and then not be able to answer what seem like relatively easy questions about the field.
But then my $$ doesn’t allow for being activist investor :)
Chinese oligarchs move a lot of markets around the world. With the coronavirus situation, the big businesses in China are cash flow negative. Governments can print more, but businesses, not so much. Since most big businesses in China are government-owned, that makes things a bit more complicated, but bottom line: when you need cash, you sell the assets most likely not to get trashed in the process. Right now, for China, that’s gold. And gold futures.
In related news, China has ordered businesses to run more electricity, whether the factories are running or not, so outsiders can’t look at electricity/coal usage to determine economic damage. New car sales were down 92% in one week in China, and most recently 83% down. So, car sales in China doubled in just one week. But that’s not strongly good news, especially for companies like $TSLAD.
Wow. That was chock full of things I did not know.
thanks.
communist governments with a dab of capitalism are odd creatures.
Once an entity gets to 5% or more of a stock, the buyer must state within a prescribed amount of time, whether this is an investment, or whether the buyer intends to go for control. After that, there are specific rules that apply. See Warren Buffet. Berkshire Hathaway controls many companies, and has extremely large positions in many more. Coca Cola, Dairy Queen, Wells Fargo, several insurance companies.
Maximum positions do apply to commodities, where one entity (1980 it was the Hunt brothers) cannot own more than x futures in commodity y (the Hunt brothers went way over, and were forced to sell, causing silver to drop from $50/ounce to around $10/ounce in a few days). You can own physical silver and physical gold, just not too many futures.
That would be amazing.
Jack is a POS full-blown weirdo.
Elliott Management wants to oust Dorsey as Twitter CEO: Bloomberg
Published: Feb 29, 2020
RACHEL KONING BEALS
NEWS EDITOR
MarketWatch
Activist investor Elliott Management is seeking to replace Twitter TWTR, +0.58% CEO Jack Dorsey, Bloomberg News reported late Friday. The $40.2 billion hedge fund run by Paul Singer has taken a large stake in the social-media company and wants major changes, people familiar with the matter reportedly told the news outlet. Twitter declined to comment on the report when reached by MarketWatch. According to Bloomberg News, Elliott Management has nominated four directors to Twitter’s board. Dorsey has been scrutinized for running two publicly traded companies simultaneously: Twitter and the payments processor Square SQ, +5.07%. Twitter shares did gain about 7% in after-hours trading Friday. The stock is up 3.5% in the year to date and more than 8% over the past year.
Twitter was at a high of 39.22 on Feb 6th, but has been dropping since Feb 21. Closed on Friday at 33.20, $19 cents above Thursday’s close.
At $33.20 it is an accessible stock. Meaning you can buy 100 shares $3,320 vs Microsoft at $162 per share of $16,200 for 100 shares.
Ok
I agree the Guardian can have good content.
Getting rid of Dorsey will greatly improve the chances of America surviving the surging Left and their corrupt media companions (Twitter is part of this, as is Facebook).
Looking forward to seeing the outcome of this move.
JoMa
Ping to 48 and someone who knows more than me.
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