A protracted legal dispute over Elon Musk’s attempts to back out of the transaction has apparently led to him offering to proceed with the purchase of Twitter at the agreed upon amount.
In addition, US media said that the world’s richest man wrote to Twitter, promising to uphold the acquisition price of $ 54.20 per share, raising the value of the social network’s shares and causing the suspension of trade.
Less than two weeks remain before the start of the high-risk experiment that Twitter started in an effort to retain Tesla CEO Elon Musk on the $44 billion deal he signed in April. The development comes amid a protracted takeover saga.
While Musk was supposed to be fired by Twitter’s attorneys later this week in advance of the trial.
Shortly after the arrangement was reached, Musk started to back out, claiming in a message in July that Twitter had misled him about the quantity of phoney bot accounts that the firm had rejected.
In the meantime, Twitter is looking for evidence or witnesses to show that Musk is inventing justifications for withdrawing because he changed his mind.
A Delaware judge approved in July to quicken the trial of Twitter’s claims, which the company claimed were hurting its ability to make money.
In an email, Wedbush analyst Dan Ives stated that Musk’s apparent change of heart indicated that he understood the likelihood of his legal victory was “very unlikely” and that the $44 billion acquisition will somehow be consummated.
Twitter’s stock increased 12.7% to reach $47.
95, after the Fresh York Stock Exchange had halted it in response to a Bloomberg report on a potential new acquisition offer.
Musk is accused of making an unsolicited proposal to purchase Twitter without seeking estimates for spam or phoney accounts, instead choosing to improve his presentation to the board of directors by removing the diligence clause, according to the lawsuit filed against him.
Author: “AFP.”
Tafarer: Elon Musk will proceed with buying Twitter at the agreed-upon starting price.
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