Elon Musk offered to buy social network Twitter on Monday for a price agreed upon in April, according to press reports. The turnaround comes two weeks before a scheduled hearing between the two sides on the landmark acquisition.
Twitter’s stock listing was suspended “pending information” on the New York Stock Exchange on Tuesday after a Bloomberg article revealed this new acquisition offer from Tesla’s boss. The quote was paused for 5 minutes for the first time, and the headline rose +18%, before halting again, +12.7%.
Elon Musk sent Twitter a letter on Monday offering to buy the site for $54.20, the price he originally offered the company, according to the Economic News Agency. Spring and the board of directors finally accepted. According to CNBC, the deal could be finalized by Friday or Monday.
The two parties signed a deal in late April, but Elon Musk unilaterally rejected the deal in July. The team at Bluebird then filed lawsuits to force him to honor his commitment, and everything pointed to him being in a position to win.
“Low chance of success”
“It’s a clear sign that Musk recognizes that his chances of winning against the board in a Delaware court are slim, and that the $44 billion buyout has to happen one way or another.” .
Elon Musk criticized Twitter before and after the acquisition deal was signed, accusing the site of censoring users and failing to adequately block spam and fake accounts.
He justified his withdrawal by saying that the proportion of automated accounts on the platform was higher than the 5% figure the San Francisco company had put forward.
Security failures
Faced with Twitter’s complaint, the president of a Delaware special court granted the company a speedy trial, while Elon Musk wanted to wait until next year and asked for an astronomical amount of data. The trial, if maintained, should theoretically take place between October 17 and 21.
The Musk clan appeared to have gained a point when former Twitter security chief Peter Zatko, who was fired in January, accused the group of major security breaches in a report submitted to US authorities in late August. But during a preliminary hearing with a judge, his lawyers appeared to struggle to prove the allegations of false accounts.
A Twitter lawyer pointed to two reports from data analytics firms hired by the merchant, Cypra and Countermeasures, which put the rate at 11% and 5.3%, respectively. “None of these statements even remotely support what Mr. Musk said on Twitter and in his July 8 letter to the world,” attorney Brad Wilson said at a hearing.
This article was published automatically. Sources: ats / afp
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