In six months, Twitter has lost more than half of its value: more than 20 billion dollars

Twitter would be worth less than half of what Elon Musk paid for it when he bought it. In six months, the company has thus lost over 24 billion dollars in value. The calculations are based on what Musk wrote in a memo sent to his employees and leaked to the American media. In the internal document intended for Twitter staff, Musk estimates the value of the company at less than 20 billion dollars, compared to 44 five months ago when he acquired it.

The letter concerns Musk’s offer of stock grants to employees of the San Francisco group. The share grant program values ​​the platform at 20 billion dollars, a figure close to the capitalization of Snap (18.2 billion), the parent company of Snapchat, or of Pinterest (18.7), as revealed by the Platformer website, which was the first reported the contents of the memo.

In the internal document Elon Musk justifies the brutal contraction of the valuation with the financial difficulties experienced by the group. Since he took control of Twitter, Musk has reduced the group’s workforce from 7,500 to fewer than 2,000 employees through several waves of layoffs. A major problem for Twitter’s accounts came when several large advertisers left the platform and one of the main sources of funds for the deal, the investment firm Fidelity, devalued the value of its shares by 56%.

In the note, Musk says he sees “a difficult but clear path” towards a group valuation of around $250 billion, without mentioning a deadline.