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The evaluation of the social media website X has decreased to $ 44 billion and underlines the sharp turn in the company’s assets since his owner Elon Musk took on the role of the convinced allied allied against President Donald Trump.
At the beginning of this month, the investors estimated the platform in a so -called secondary contract in a so -called secondary business, in which they exchange existing operations in the company, two people with knowledge of the matter.
X It also worked on increasing fresh capital in a primary round that aims to collect about $ 2 billion through the sale of new equity and to pay more than 1 billion to junior debts that Musk approved to finance its purchases of the company, which is known at the time as Twitter.
Since the group took over, musk has loosened the platform’s moderation guidelines, which caused many advertisers to leave. The disclosure of Fidelity investments at the end of September implied an assessment for the company that was below USD 10 billion. Musk bought Twitter for $ 44 billion.
The new assessment of USD 44 billion is a back rash for Musk and the investors of the group, including Andreessen Horowitz, Sequoia Capital, 8VC, Goanna Capital and Fidelity Investments. The deal would help to set a price for the upcoming primary round.
The income of X has decreased since Musk took over since the takeover of Musk, but according to two people familiar with the matter, around USD 1.2 billion before interest, taxes, depreciation and amortization were achieved in 2024 – about the time before the takeover of Musk.
Another two people with knowledge of the finances of X stated that there were signs that Musk’s cost reduction plan worked for the company and that the income had improved. However, another person found that the EBITDA number was “adapted wildly”.
X rejected a statement.
A group of seven Wall Street banks, including Morgan Stanley, Bank of America, Barclays and Mufg, sold almost every $ 12.5 billion of loans that Musk financed in 2022. The lenders were with the debts, while Musk dealt with the operations of X to turn the operations of X.
Investors’ interest in the loans improved in the weeks after Trump’s election victory in November, given the proximity of the billionaire to the new administration, as a confidante as the president and the head of the so -called Department of Government Efficiency (Doge), which is absent with the cut of government exchanges.
It also improved after Mosch artificial intelligence Start-up Xai to investors in the social media company at the beginning of last year. XAI has received an evaluation of USD 45 billion, and the new arrangement has granted the lenders of X new security and increased the evaluation of the platform.
A banker near Fundraising said that the upcoming primary round would help X “to” eliminate “the last guilt.
The banks agreed to give the company time to increase new equity or equity financing in order to pay the remaining junior debts instead of loading them if they sold more than $ 11 billion of the loans in January and February, two people said.
In another thrust for X, groups like Amazon have recently strengthened marketing editions because Musk’s relationship with Trump has deepened. X recently added a number of brands, including Nestlé, Lego, Pinterest and Shell, a lawsuit in which the companies had previously illegally boycotted the platform.
In addition to advertising, X extends its efforts to diversify into new sources of income and become what Musk described as “The Everything App”. The managing director Linda Yaccarino announced in January that the company will later be the first partner this year X Money, a digital wallet and peer-to-peer payment service.
It also works closely with Xai to integrate your AI technology into the platform and start the latest version of his AI Chatbot Grok 3 for Premium subscribers on Monday. X plans to conduct the AI technology developed by XAI to increase its ad offers and products, as a person familiar with the matter emerges.
