Elon Musk is walking away from Twitter deal after selling $8 billion worth of Tesla (TSLA) stock for it

by Fred Lambert

After months of negotiations, Elon Musk has officially moved to terminate his takeover of Twitter, but the CEO has still sold around $8 billion worth of Tesla (TSLA) stock to make it happen. What is he going to do with that money?

After Tesla went public in 2010, Elon Musk often said that he would be the “last one to sell Tesla stocks”.

The CEO periodically had to do it to cover his taxes after receiving large stock compensations. That started to change last year.

The CEO framed the idea as pressure from the media and politicians about the rich not paying taxes on unrealized gains.

However, Musk wasn’t as vocal about the fact that he was facing a giant tax bill regardless of his sale of shares, due to a large number of stock options he needs to exercise over the next year.

Though the CEO did end up selling more Tesla shares than he needed to cover his tax burden from the stock options being exercised.