Elon Musk moves to end $44B bid to buy Twitter
Elon Musk has moved to end his 44 billion-dollar bid to buy Twitter. However, Twitter board says it will ‘pursue legal action’ to get deal done.
The world’s richest man sent a letter to the company’s board saying he would terminate his bid to buy the social-media platform.
That could cost Musk $1 billion in the form of a breakup agreement, though Twitter chairman Bret Taylor tweeted Friday that the company plans to hold Musk to the $44 billion deal.
“The Twitter Board is committed to closing the transaction on the price and terms agreed upon with Mr. Musk and plans to pursue legal action to enforce the merger agreement,” chairman Bret Taylor said. “We are confident we will prevail in the Delaware Court of Chancery.”
Musk had offered the $44 billion proposal in April to take control of the popular platform he’s criticized for the way it moderates content.
Right-wing social media users who have been most impacted by Twitter’s efforts to make the platform more civil and less freewheeling celebrated the announcement.
Twitter stock fell nearly 5% Friday, to $36.81 per share. Musk’s offer would have paid $54.20 per share.
There was rampant speculation that former President Donald Trump would start tweeting again after being banished from the platform after his followers stormed the United States Capitol on Jan. 6, 2021 to stop the certification of the presidential election he lost.
Trump instead launched his own platform, Truth Social, as an alternative to Twitter. Trump had nearly 89 million followers when his account was suspended.
Musk has 100 million followers on Twitter. He had in recent weeks suggested the company may be underreporting bots and fake accounts.
Musk critics have speculated he was never interested in consummating the Twitter deal.
The 51-year-old entrepreneur had not addressed the drama by the end of the business day Friday.
