Twitter shares were halted Tuesday amid reports that Elon Musk will move ahead with his purchase of the social media giant.
Elon agreed to buy the company for his original rate of $54.20 a share.
Trading of Twitter shares was halted Tuesday amid reports that Elon Musk is proposing to go ahead with his bid to buy the company for $54.20 a share. pic.twitter.com/XZXLuKXC7s
— The Recount (@therecount) October 4, 2022
— Bloomberg (@business) October 4, 2022
Elon Musk may own Twitter by Friday.
Elon Musk owning Twitter as soon as Friday is bad for democracy and good for those that want to see the spread of fascism around the world. This platform under his watch will give authoritarians a free rein. pic.twitter.com/Z1tyWyMQCq
— └A DODGERS LAKERS NEWS (@DodgersLakers) October 4, 2022
Elon Musk has reversed course and is again proposing to buy Twitter for $54.20 a share, according to sources familiar with the matter. A deal could happen as soon as Friday, the sources added.
Twitter shares jumped as much as 15% on Tuesday after Bloomberg first reported on the Tesla CEO’s plans to go forth with his deal to acquire the company. The stock was halted after the report.
A few weeks after Musk agreed to the deal earlier this year, valuing Twitter at $44 billion, he quickly tried to back out, officially informing the company in July of his intentions to terminate the agreement. Twitter sued Musk to force him to go through with the purchase. The two sides were scheduled to go to trial in Delaware Chancery Court on Oct. 17.
Musk alleged that Twitter was misstating the number of “bots” on its service as one of the reasons he was reneging on the deal. He and his lawyers claimed the social media company was misleading investors by providing false numbers in corporate filings with the Securities and Exchange Commission.