Elon Musk puts Tesla stock sales on pause
Musk went on a selling spree in April following announcing his intentions to buy Twitter for $44 billion, which was completed in October
Elon Musk needs to step aside as Twitter CEO, focus on Tesla: Gary Black
The Future Fund managing partner Gary Black and Barron's senior special writer Allen Root discuss how Elon Musk's Twitter turmoil is negatively impacting Tesla stock on 'The Claman Countdown.'
Billionaire Elon Musk said on Thursday he will put Tesla share sales on hold for about two years.
Musk made the comment while speaking in a Twitter Spaces audio chat.
He also commented on the economy saying he foresees a "serious recession" in 2023 and demand for big-ticket items will be lower.
His comments came after a Tesla stock sell-off deepened on Thursday over worries about softening demand for electric cars and Musk's distraction with Twitter and his stock sales.
TESLA SLASHES PRICES BY $7,500 IN END OF YEAR SALE
Tesla CEO Elon Musk alongside the electric automaker's logo. (Getty Images/AP / Getty Images)
"I won't sell stock until I don't know probably two years from now. Definitely not next year under any circumstances and probably not the year thereafter," Musk said.
Shares of Tesla rose 3% to $129.23 in after-hours trading.
Tesla stock plunged 9%, after Tesla started to offer deep, $7,500 discounts to U.S. consumers, fueling investor concerns about softening demand as the economy slows.
A Tesla Model 3 is seen in a showroom in Los Angeles, California. (REUTERS/Lucy Nicholson / Reuters Photos)
Musk has previously made promises about not selling Tesla stock before subsequently selling it.
Last week, the Tesla chief executive sold 22 million shares worth $3.58 billion in the electric-vehicle maker, according to a regulatory filing.
ELON MUSK SAYS HE’LL STEP DOWN AS TWITTER CEO WHEN HE FINDS SOMEONE ‘FOOLISH ENOUGH TO TAKE THE JOB’
Musk has sold over $40 billion worth of shares in the past year, surrounded around his acquisition of Twitter.
Elon Musk’s Twitter account is displayed on the screen of an iPhone in front of the homepage of the Twitter website. (Chesnot/Getty Images / Getty Images)
The Tesla CEO went on a selling spree in April as he was lining up financing for his $44 billion purchase of Twitter, which he had attempted to retreat from since July.
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| TSLA | TESLA INC. | 352.56 | +12.92 | +3.80% |
Musk sold another 7.92 million shares in August, months after announcing he wasn't going to sell any more shares.
Musk ultimately completed the Twitter purchase in October.
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In the days following the takeover, the billionaire sold almost $4 billion in Tesla stock.
Tesla shares have been down roughly 68% year-to-date.
Reuters contributed to this report.