Elon Musk’s X gets $ 44 billion in a sharp shift

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The assessment of the social networking site X has increased to $ 44 billion, confirming the sharp shift in the company’s wealth because its owner Elon Musk assumed the role of a strong ally of President Donald Trump.

Investors estimate the platform at $ 44 billion in an alleged secondary deal earlier this month, as they exchange the current risks in the company, according to two people knowing the matter.

x He was also working to raise the new capital on a primary tour, which aims to raise about $ 2 billion by selling new ownership rights and using it to pay more than a billion dollars from the beginner debts that Musk agreed to take over to finance the company’s purchase, known as Twitter, in 2022, many people said in the situation.

Since the group seizure, Musk He has eased moderation policies on the platform, which prompted many advertisers to leave. The disclosure of Fidelity Investments in late September involves an evaluation of the company, which was less than $ 10 billion. Buy Musk Twitter for $ 44 billion.

The new evaluation of $ 44 billion represents a recovery for MUSK investors and the group’s investors, including Andressen Horowitz, Sequoia Capital, 8VC, Goanna Capital and Fidelity Investments. The deal will help determine the next primary round price.

X’s revenues have decreased since the MUSK acquired, but it published about $ 1.2 billion in the modified profits before interest, taxes, depreciation and firefighting in 2024, according to two people familiar with the matter – almost flat with the period before the Musk seizure.

Two other people with financial knowledge X said that there are signs of MUSK cost planning for the company were working, and that the revenues were improving. However, another person noted that the profit personality before benefits, taxes, destruction and consumption was “violently modified.”

X rejected the comment.

A group of seven Wall Street banks, including Morgan Stanley, Bank of America, Barklise and MUFG, sold all $ 12.5 billion in financing for Twitter financing in 2022. The two lenders were installed with DEBT while Musk wrapped the X operations as shares of investors in stock on the platform.

The interest of the investor in loans improved in the weeks that followed Trump’s electoral victory in November, given the billionaire proximity to the new administration as a rapporteur for the president and head of the alleged government efficiency (DOGE) that intends to cut the government red strip.

It also improved after Musk gave a 25 percent stake in artificial intelligence Xai starting to investors in the social media company early last year. XAI got a rating of $ 45 billion, and the novel has provided new safety for X lenders and strengthened the platform evaluation.

One of the bankers close to the collection of donations said that the next primary round will help X “clean the last part of the debt.”

Banks agreed to give the company time to increase fresh shares or stock -like financing to pay the remaining beginners, instead of emptying it when it sold more than $ 11 billion in loans in January and February.

In another batch of X, groups such as Amazon have recently strengthened marketing spending with the depth of MUSK’s relationship with Trump. X recently added a number of brands, including Nestlé, LEGO, Pinterest and Shell, to a lawsuit claiming that companies have temporarily boycotted the platform.

Besides the advertisement, X expands its efforts to diversify the new revenue flows and become what Musk called “Everything”. CEO Linda Yakarino announced in January that the company will launch later this year X Money, a digital payment service and a counterpart to counterpart, with Visa as its first partner.

It also works closely with Xai to integrate artificial intelligence technology on the platform, on Monday, when it launched the latest version of Ai Chatbot Grok 3 for distinguished subscribers. X plans to use the Xai artificial intelligence technology to enhance its offer and products, according to one person who is aware of this issue.