One of the biggest investors, Aliya Capital Partners LLC that joined Elon Musk’s $44-billion takeover of Twitter Inc, said on Tuesday it expects to make up to five times its money despite the social media platform’s problems.
Twitter has been hemorrhaging advertisers after Musk let more than half of its 7,500 employees go and alienated some users with his fast-changing moderation policy decisions. Earlier this week, Musk tweeted that the social media company has been “in the fast lane to bankruptcy since May.” He took over Twitter on Oct. 27 and this week said he will abide by the results of a Twitter poll in which a majority voted for him to step down as the head of Twitter.
A Miami-based manager of the wealth of rich families, Aliya, which invested $360 million alongside Musk in the Twitter purchase, said it believed Musk would capitalize on Twitter’s 229 million daily active users that have “historically been under-monetised”.
“We believe Twitter will produce a return of 4-5x in just a few years, with comparably limited downside risk,” Aliya Chief Executive Ross Kestin said in a statement.
A spokesperson for Musk did not immediately respond to a request for comment.
