- Musk claims he is “obviously paying too much” for his $44 billion deal with Twitter.
- The tech mogul said that he is “excited” about the deal and that the site has “incredible possibilities.”
- Musk is the world’s wealthiest person, with an estimated net worth at $209 billion.
Elon Musk, tech billionaire and the world’s wealthiest person, claims he is “obviously paying too much” to purchase Twitter. This comes just one week before a judge sets a deadline for his $44billion takeover.
Musk’s purchase Twitter was fraught with controversy. There have been lawsuits and a possible upcoming trial.
Musk has offered to buy the social media website for $54.20 per share. He first made this offer in April. We were close to getting an 8% discountSources previously spoke to Insider.
“Although I and the other investors are clearly overpaying Twitter at the moment, the long-term value for Twitter in my opinion is an order-of-magnitude greater than its current value right now,” Musk, Tesla CEO, said during Wednesday’s earnings conference. Insider’s Tim Levin translated the call.
He said, “I’m excited by the Twitter situation because obviously I know their products incredibly well.” . “I think it’s an asset that has kind of languished since a while, but has tremendous potential.”
According to Bloomberg, Musk is currently the world’s wealthiest person with a net worth $209 billion. Bloomberg estimates.
Musk U-turned on his decision to buy Twitter – and then U-turned again
Musk first offered to buy Twitter back in April After accumulating a 9.2% percentage, which made him the largest shareholder. He is also trying to join its board.
The next month, however, he seemed less interested in buying the site and in July he did. He wrote to Twitter to end the agreementThe social media giant claimed that it had withheld or distorted information about the number of bot accounts. Twitter claims that bots make up a majority of Twitter’s users Less than 5% of its 238 million daily active users monetized.
Within days Musk was sued by TwitterHe was accused of “refusing” to honour his obligations. Musk countersued later in July, Alleging that the company deliberately miscounted spam accountsas part of “its scheme to mislead shareholders about the company’s prospects.”
Musk had been trying for months to end the deal. Now it is back.
Talks about buying the company at $50 per share failedAfter the clashes, Musk’s lawyer stated that Twitter’s board and executives wanted “all sorts of things” in the renegotiated agreement that was rejected by the tech mogul. Musk’s lawyers eventually said that Musk would renew his original offer at $54.20 a share on October 4.
Delaware Chancery Court Judge in charge of Twitter’s case against Musk The parties have agreed to suspend proceedings until October 28 to give them time to to close on the transaction, or otherwise the parties will face a trial in November. Musk’s legal team has said the deal can close by then.
Bloomberg reported that Twitter has blocked employees from trading and accessing shares on Monday in a sign that Musk’s deal is close to completion.
