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Friday July 19, 2024

Elon Musk ascends to world's richest man's title once again

The announcement comes after Tesla shares once again rose in stock market and Musk announced the appointment of a new CEO for Twitter

By Web Desk
June 02, 2023
SpaceX, Twitter and electric car maker Tesla CEO Elon Musk meets with France´s President at the Elysee presidential palace in Paris on May 15, 2023. — AFP
SpaceX, Twitter and electric car maker Tesla CEO Elon Musk meets with France´s President at the Elysee presidential palace in Paris on May 15, 2023. — AFP

Elon Musk has once again become the world’s richest person, replacing Bernard Arnault, the CEO of LVMH, the largest luxury goods company.

According to the BBC, following the rise in the value of his electric vehicle company, Tesla, Musk’s net worth has risen from $55.3 billion to $192 billion since January.

Meanwhile, based on Bloomberg’s Billionaires Index, Arnault’s worth has dropped to $24.5 billion from $187 billion.

After Arnault, Jeff Bezos, the founder of Amazon, is ranked third richest in the world, with a net worth of $146 billion, while Microsoft co-founder Bill Gates, who has a net worth of $126 billion, takes the fourth position, Bloomberg reported.

Previously, in December, the luxury goods giant was in the top spot as LVMH shares jumped driven by renewed demand, the report said.

On the contrary, as people began to doubt Musk’s leadership following his purchase of Twitter for $43 billion, the tech giant’s shares in Tesla fell sharply.

However, since the beginning of the year, Tesla shares have increased by about 92% as investors' nerves have eased and Musk has announced the appointment of a new CEO for Twitter.

Additionally, while the car company is gaining from the increase in interest in artificial intelligence, Musk's visit to China this week has also sparked enthusiastic reactions.

LVMH, which owns businesses like Louis Vuitton and Christian Dior, has reversed course, as its shares dropped significantly and are down 16% year to date after reaching a record high in April.

Arnault, who co-founded the luxury goods giant in 1987, owns a majority stake in the business, which is Europe's most valuable firm.

As part of a reorganisation at LVMH in January, the Frenchman named his daughter Delphine Arnault, as head of his fashion house, Dior.

The group's brands employ all five of Arnault's children in management roles.