Tesla and SpaceX CEO Elon Musk reached an agreement in recent weeks to purchase social media platform Twitter for $54.20 per share for a total of 43.4 billion dollars. However, the businessman recently made a critical decision and announced that the company has temporarily suspended its purchases. Here are the details…
Elon Musk will not buy Twitter for now
While everyone is waiting for the agreement to be made official and the transfer process to take place, Elon Musk has recently made a surprise statement and suspended the purchases of Twitter. announced that he had Twitter shares fell 19 percent in pre-opening trading after Elon Musk’s announcement.
The reason behind this decision of the business person is the number of spam and fake accounts on the platform. It’s a statement about it. A while ago, after Twitter announced that such accounts are less than 5 percent of total users, Musk announced that he is suspending purchases of the platform until the relevant data is verified.
Of course, this situation brought to mind the compensation to be paid if the business person withdraws from the agreement. Because, within the scope of the agreement signed between Musk and Twitter, it may be necessary to pay 1 billion dollars to terminate the contract. However, we will see whether this situation will be necessary in the future.
Elon Musk first entered Twitter last month by purchasing 9.2 percent passive shares. However, the businessman, who was not satisfied with this and aspires to the entire company, succeeded in reaching his goal, despite the tension he experienced especially with the board of directors. However, the latest development could change all these situations.
So what do you think about this issue? Do you think Elon Musk can give up buying Twitter completely? Do not forget to share your views with us in the comments section or on the SDN Forum.
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