Securities litigation firm Block & Leviton is inviting Twitter shareholders who sold their stock between March 24 and April 1 to share details of their transactions and strengthen the demand for a class-action lawsuit. However, the fashion in which Musk filed his declaration before the SEC is also a topic of hot debate. Musk initially went with a Schedule 13G filing, the right way for passive stock acquisition, which also means Musk can’t try to wrest control of the company into his hands. Musk subsequently submitted a revised Schedule 13D filing, which classified him as an active investor. More importantly, the form mentions that Musk won’t be able to buy more than a 15% stake in the company.
But Musk’s situation around a Twitter board member seat has also witnessed some upheaval. When Twitter CEO Parag Agarwal initially announced Musk’s stake in Twitter, it was widely reported that Musk’s seat on the board could catalyze some interesting changes at the company. But a few days later, Agrawal shared that Musk has decided to not become a board member, despite being the biggest shareholder as of April 11. It is worth noting here that Musk isn’t the biggest shareholder in Twitter anymore as that honor goes to Vanguard, which now owns a 10.29% stake in the company according to an SEC filing. Nonetheless, Musk will remain an influential figure at Twitter, with or without a board seat.