Elon Musk has pumped more money into X, formerly Twitter, to help the platform regain its $44bn valuation.
The Tesla CEO purchased the social media site in 2022 for $44bn, however its value plummeted in the months that followed as advertisers ditched the platform and Musk gutted its workforce.
As recently as September, X had been valued at just $10bn by the existing investor Fidelity Investments
But the company has regained its $44bn value following a secondary financing round in which investors exchanged existing shares in X, the Financial Times reports.
According to Bloomberg, X raised nearly $1bn in new equity from investors, including fresh investment from Musk who participated in the financing round.
The deal reportedly valued X at approximately $32 billion, alongside roughly $12.5 billion in debt.
Two source with knowledge of X’s finances told the Financial Times there were signs Musk’s plans for the company were working and that revenues were on the up.
Since taking over the platform, Musk has loosened content moderation standards, monetised verification and carried out mass layoffs of staff.
He plans for the site to become an all-purpose app. In January, chief executive Linda Yaccarino announced that the company would be launching X Money later this year, a digital wallet and peer-to-peer payment service.
X also has its own AI technology on the platform, in the form of chatbot Grok.
The dramatic turnaround in fortunes for X has coincided with Musk’s rise to power as a close ally of Donald Trump, after he won the US election last year.
The same can’t be said for another of Musk’s companies, Tesla, which has seen its share price drop in recent weeks.
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