Large Investors Flock to Twitter Amid Elon Musk Acquisition

Strategic Insights -

Farallon Capital Management, Triatomic Capital, and Franklin Resources Inc were among the prominent investors that increased their stakes in Twitter Inc during the third quarter, capitalizing on the $44 billion acquisition by Elon Musk. Hedge funds and billionaire investors, including Carl Icahn and Daniel Loeb, also invested heavily in Twitter shares, while some other investors sold their positions before the October rally. The value of Twitter shares jumped 23.2% in October after Musk completed the deal, pushing the price to $54.20 per share.

Key Takeaways:

  • Farallon Capital Management bought nearly 7.8 million shares of Twitter during the quarter that ended Sept. 30.
  • Franklin Resources, the parent company of mutual fund firm Franklin Templeton, added nearly 2.6 million shares to an existing position of less than 100,000 shares.
  • Triatomic Capital put on a new position by buying 40,000 shares after not owning any stake in the company the quarter before.
  • Billionaire investors Carl Icahn and Daniel Loeb bought millions of Twitter shares, with Icahn purchasing 12.5 million shares and Loeb's hedge fund Third Point owning 5.5 million shares.
  • Pentwater Capital Management LP and Adage Capital Partners LLC, which held on to their shares in Twitter even as Musk attempted to walk away from the deal.
  • Event-driven hedge fund Alpine Global Management LLC increased its position in Twitter by 25.5% in the last quarter.
  • Wells Fargo & Co sold 3.7 million shares of Twitter, while ClearBridge Investments LLC sold 1.9 million shares.

Statistics:

  • Twitter shares fell to as low as $33 during the third quarter.
  • Twitter shares ended September near $44.
  • The value of Twitter shares jumped 23.2% in October after Musk completed the acquisition.
  • Musk paid $54.20 per share to acquire Twitter in October.
  • Farallon Capital Management bought 7,800,000 shares of Twitter.
  • Franklin Resources added 2,600,000 shares to its existing position in Twitter.
  • Triatomic Capital bought 40,000 shares of Twitter.
  • Carl Icahn bought 12,500,000 shares of Twitter.
  • Daniel Loeb's hedge fund Third Point owned 5,500,000 shares of Twitter.

Sources:

  • Securities filings released on Monday.
  • Exact dates and timestamps not provided in the original text.