Elon Musk's team seeks new funding for Twitter

Elon Musk’s team has reached out to investors to raise new funds for his struggling social media platform Twitter, one of the investors said.

Ross Gerber, president and CEO at Gerber Kawasaki Wealth & Investment Management, told Reuters that he was contacted by a Musk representative about offering more shares at the same price, $54.20 (AED 199), that Musk paid to take the company private in October.

Jared Birchall, the managing director of Elon Musk's family office reached out to potential investors this week, news platform Semafor reported on Friday, citing two people familiar with the fundraising effort.

Twitter and Musk did not respond to Reuters' requests for comments.

Twitter has seen advertisers flee amid worries about Musk's approach to policing tweets, hitting revenues and its ability to pay interest on the $13 billion (AED 48 billion) debt that Musk took on to buy the social media company.

Musk sold another $3.6 billion (AED 13.22 billion) worth of shares in Tesla earlier this week, making it nearly $40 billion (AED 147 billion) worth of shares in the electric-vehicle company sold this year.

Tesla shares on Friday posted their worst weekly loss since March 2020, with investors increasingly concerned about Musk being distracted by Twitter and the slowing global economy.