Elon Musk's newly acquired 9.2% stake in Twitter has suddenly made him its largest shareholder, catapulting him above the social media company's co-founder and former CEO Jack Dorsey.
The Tesla chief executive disclosed the purchase in a Securities and Exchange Commission filing on Monday, sending Twitter shares soaring for the largest one-day rally since the company went public in 2013. The filing, dated March 14, revealed that Musk bought about 73.5 million shares for roughly $2.9 billion. Those shares have increased in value by roughly $1 billion.
Musk's stake elbowed Vanguard Group from the top shareholder spot to No. 2, according to data from FactSet. Vanguard Group has an 8.4% stake in the company.
Morgan Stanley Investment Management, meanwhile, fell to No. 3, with holdings of 8.1%.
BlackRock Fund Advisors holds the fourth spot, followed by SSGA Funds Management and Aristotle Capital Management.
Dorsey, the former chief executive, is the only other individual shareholder in the top 10. He holds a 2.25% stake in the company, a position that is almost $200 million more valuable after Musk revealed his purchase.
The other investors include ARK Investment Management, Fidelity Management & Research and ClearBridge Investments.
Musk's purchase comes about a flurry of criticism aimed at Twitter, which he has accused of stifling free speech. In a tweet on Tuesday, Musk hinted that hopes to make "significant improvements" to Twitter in the coming months after he was named to the company's board of directors, a term that expires in 2024.
"Looking forward to working with Parag & Twitter board to make significant improvements to Twitter in coming months!" Musk said in a tweet.
Although the new holdings make Musk the largest shareholder of the social media company, the bulk of his wealth is tied to shares and options in Tesla.
Musk controls about 17% of the electric-vehicle maker, according to SEC filings. Tesla shares have surged in value in recent years, propelling the eccentric CEO to the top of a list of the world's wealthiest people. Musk is worth an estimated $288 billion, according to the Bloomberg Billionaires Index.