[News] The question of the hour... What are the repercussions of Twitter's exit from the stock exchange?

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After the world's richest man acquired Twitter, an important question arises... What are the repercussions of Twitter's exit from the stock market? The answer is related to Musk's strategy.

Twitter will exit the stock exchange after being bought by Elon Musk. This process, which weak companies often resort to, would provide a greater margin of maneuver by keeping them away from market restrictions, but the success of this step is not guaranteed.

Spread tactic
A company that enters the stock exchange often grabs the headlines to raise money or allow its founders or investors and employees to sell their shares. However, it also happens regularly that companies withdraw from the stock exchange in order to correct their situation with the possibility of re-listing their shares in the market.

Michael Dell expelled the company that bears his name from the stock market in 2013, in light of the decline in demand for desktop computers, saying that they would be "more flexible and capable of entrepreneurship." Dell returned to Wall Street after five years, having corrected its position.

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In an experiment that did not meet the same success, the American businessman Warren Buffett agreed in 2013 with the Brazilian company 3G to withdraw the company "Heinz", the manufacturer of ketchup, from the stock exchange, after which it merged with the "Kraft" group. However, the new company's share price on the stock exchange is 40% lower compared to its price when it was launched in 2015.

Venture capital firms regularly buy listed companies in the hope of making profits through drastic measures such as massive exchanges or by merging them with another company they own.

But as far as Twitter is concerned, Elon Musk's intentions remain ambiguous. The world's richest people have repeatedly spoken of his intention to defend freedom of expression by adjusting some jobs in this social network, but he has not yet put forward any specific economic strategy.