In the illustration in this photo, Elon Musk’s Twitter account is displayed on the screen of the smartphone, with the Twitter logo in the background.
Pablo Goncher | Light Rocket | Getty Images
twitter Stock prices plummeted in pre-market trading on Monday Elon Musk He said he was trying End his $ 44 billion acquisition Company’s.
Twitter’s share fell 7% in the US premarket. This means that the market value has fallen by nearly $ 2 billion since Friday’s closing price. Tesla Stocks also fell slightly.
On Friday, Musk’s lawyer informed Twitter’s board of directors that he wanted to cancel the transaction. Billionaire Bot and fake accounts On Twitter, the company states that it’s not true how genuine its activities on the service are.
Twitter, on the other hand, needs the information to evaluate the claim that spam accounts make up only 5% of monetizable daily active users, including the so-called Firehorse, which is an unfiltered real-time daily stream. A tweet that states that it provided the mask.
Twitter’s chairman of the board, Bret Taylor, said the company Pursue legal action Enforce the agreement in the Delaware Peace Court.
Musk responded on Monday by posting a meme mocking Twitter’s management about the failed transaction. It features an image of a musk laughing along with a text claiming that the company is trying to “force” him to buy it in court.
A Twitter spokeswoman declined to comment on the meme.
Both parties may be ready for a protracted court battle. According to the lawyer..Musk may also face paying $ 1 billion split fee Please go away.
Musk is one of Twitter’s most popular users, with over 100 million followers. He is from the corporate communication of various companies Exactly bashing the platform He wanted to get it before.
Richard Windsor, founder of research firm Radio Free Mobile, said Mask’s desire to “significantly renegotiate” the $ 54.20 price he agreed to pay to Twitter was likely the reason for his withdrawal from the deal. Stated.
As of Friday, Twitter shares were worth 32% cheaper than Mask’s agreed transaction price. Windsor isn’t a shareholder on Twitter, but he said he would sell it now if he did.
“There is still a gap between fundamentals and stock prices,” Windsor told CNBC’s “Squawk Box Europe” on Monday.
“Looking at some of the places the tech sector has gone over the past few months, you can put Twitter’s valuation somewhere between $ 13. [billion] It has reached $ 15 billion, which is about 50% below the current stock price. “
