Elon Musk Proposes to Follow Through With Twitter Acquisition
Billionaire Elon Musk has once again reversed course in the ongoing Twitter acquisition saga, today sending a letter to Twitter proposing a purchase at the original price, reports Bloomberg.
Musk originally offered to buy Twitter for $44 billion in April ($54.20 per share), a deal that Twitter ultimately accepted. Musk in May put the takeover "temporarily on hold" because of a dispute over the number of fake or spam accounts that Twitter claimed to have. Twitter said that fake accounts represented less than five percent of users, but Musk was not convinced.
In July, Musk decided he no longer wanted to buy Twitter and attempted to call off the purchase, claiming that Twitter did not comply with its contractual obligations and that he was not provided with the relevant business information that he requested.
Twitter in turn filed a lawsuit to force Musk to go on with the sale, accusing him of trashing the company, disrupting its operations, and destroying stockholder value. Musk's decision to offer to continue on with the purchase comes ahead of a trial that was set to begin on October 17. With Musk once again on board, it is probable that the acquisition will go through, provided he does not change his mind again.
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