Mutual fund company Fidelity has marked down its investment in X holdings — the parent company of X (formerly Twitter) owned by Elon Musk — by 71.5% from the original valuation of shares, according to a new disclosure.
Fidelity spent $19.2 million to acquire a stake in X back in October 2022. The fund manager made a valuation cut of 65% in October 2023. And now in the November 2023 disclosure, the firm has made a further cut in X’s valuation. Notably, Fidelity’s disclosures are one month behind the current date.
X has gone through quite a lot of changes in the past year, including getting a new CEO in former NBCU exec Linda Yaccarino. During an interview at the Code Conference in September 2023, Yaccarino claimed that the company would turn profitable in 2024.