Elon Musk offloaded around $4 billion of Tesla (NASDAQ:TSLA) shares after he agreed a $44 billion to take Twitter (NYSE:TWTR) private, according to filings with the Securities and Exchange Commission (SEC).
The filings show that the billionaire sold around 4.4 million Tesla shares, with the majority of sales made on Tuesday.
“No further TSLA sales planned after today,” Musk tweeted minutes after the filings became public.
Twitter accepted Musk’s bid on Monday, in a deal that will value the social media giant at $44 billion at $54.20 per share. To fund the deal, the Tesla CEO secured a fully committed debt of $25.5 billion, including $12.5 billion in loans against Tesla’s stock.
The deal still awaits regulatory and shareholder approval.
If he does not secure the necessary capital to fund the deal, Musk will have to pay Twitter a termination fee of $1 billion. Similarly, Twitter will pay Musk a $1 billion breakup fee if the company accepts an offer from another bidder, or if shareholders do not approve the transaction.
Tesla stock price is up 3% after closing at a 6-week low of $877.51 yesterday.
By Senad Karaahmetovic