Mark Cuban says there’s an ulterior motive behind Elon Musk’s Twitter offer

Elon Musk’s offer to buy Twitter for $54.20 a share and take the company private has been making headlines in recent days, with some backing the tech billionaire’s attempted takeover and others s worrying about what that might mean in the future. Fellow tech entrepreneur Mark Cuban is one of the latest to speak out on the matter – and he believes Musk’s bid for the social media platform is just his latest stunt at the Securities and Exchange Commission (SEC) of the United States.

Musk has been in hot water with the SEC since tweeting that he ‘secured funding’ to take Tesla private at $420 per share in 2018. The SEC has alleged he made false and misleading statements on the state of the electric car company’s finances. , and in the settlement that followed, Tesla was fined $20 million and Musk was fined $20 million, both of which were to be paid to Tesla shareholders for a total payout of $40 million. dollars. The SEC also imposed a so-called “consent order” on the billionaire, requiring a Tesla attorney to review his tweets before they were posted online. According to Musk, the SEC never paid, so his legal team is trying to end the settlement.

Related: SEC investigates Elon Musk and his brother for insider trading

Cuban notes that Musk’s Twitter offer echoes the tweet that got him into trouble several years ago; in the letter sent by Musk as disclosed in a securities filing, the Tesla and SpaceX founder wrote that “Twitter needs to be turned into a private company.” Some have also speculated that Musk’s price per share – $54.20 – is a potty joke.

“My conclusion, @elonmusk is screwed with the SEC,” Cuban tweeted. “His filing with the SEC allows him to say he wants to take a company private for $54.20 against his “I’m considering taking Tesla private at $420. Funding assured”. The price goes up, his shares are sold. [up] SEC like WTF just happened.”

Related: Elon Musk has 3 rules for managers. Here’s a look at his leadership style.

In a series of earlier tweets, Cuban said he believed Musk’s offer had opened the door to other tech giants and that Twitter would do everything in its power to avoid a sale.

Twitter was down 1.68% at 10:33 a.m. ET today.

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