Musk allegedly caused financial damage to a number of lenders and partners by putting his foot in his mouth, but the most baffling feature was that he shot himself in the foot again. The organization charged Musk, claiming that ADL was aggressively trying to kill advertisers by pressing “X” to avoid the site, and even banning social media accounts for minor infractions. ADL strongly objected to the virulently anti-Semitic tweets permitted on the platform, which is far from hate-right. In his attack on ADL, Musk fired off a head-spinning salvo against the Jewish-led civil rights organization.
Larry Ellison, Ron Baron, and Prince Al Waleed of Saudi Arabia, along with a group of investor friends, provided $7 billion, while Musk personally contributed approximately $24 billion. Out of this amount, Musk acquired Twitter for $44 billion, with $13 billion being financed through loans from prominent commercial and investment banks, and the remaining $31 billion being in equity. Since Musk’s acquisition of the platform in October last year, he has repeatedly stated that its value has significantly declined, primarily due to a catastrophic decrease in advertising revenue. Musk’s remarkable calculations pertain to the current valuation of the business previously known as Twitter.
Today, the residence would acquire a significantly lower amount than $440,000 based on the extent to which the price decreased from $440,000. Considering that if you borrowed $130,000 and financed the remaining $310,000 in cash to purchase a house for $440,000, it is reasonable to assume that Musk refers to the $44 billion paid for the property, rather than the equity portion, when mentioning “value.” Musk further states, “I cannot envision a scenario where they are accountable for anything less than 10% of the devaluation, approximately $4 billion,” and accuses the “ADL” of being primarily responsible for the majority of our revenue decline in the post.
Street Wall, provided by cream-colored underwater surroundings, holds a significant portion of debt. The partners, who have invested their equity, have completely lost their investment of $31 billion. This loss can be attributed to a drop in value of $4 billion, which implies that the platform’s worth has now changed hands for $40 billion, minus the purchase price of $44 billion. This indicates that the debt, including the $44 billion paid by the partners, has caused a decline of approximately 10% in the entire value of X’s, resulting in a vaporization of roughly $4 billion. This reckoning singularly falls on Musk, as he is responsible for the destruction of value.
Does Elon Musk really believe that X is now worth a staggering $4 billion, as he suggests in his scorching post? But he’s not just inflicting another battering on his already beleaguered brand, which will further undermine standing in the eyes of advertisers. It may be acceptable to view His numbers around and exaggerate the pain, throw around the victim when you’re the one when somebody’s at fault, if X indeed proves a financial cataclysm, people are likely to forget the excuses and examine the careening missteps from its sole mercurial proprietor.