The stock market’s ups and downs are stressful enough without huge deals falling through. However, Elon Musk is sabotaging Twitter stock yet again.
In April, Twitter accepted the Tesla CEO’s proposal to buy the platform for $44 billion.
Since then, Twitter’s overall shares have lost a third of their value.
Twitter stock wavers with each major Musk action
As of this morning, July 11, shares of the social media company’s stock fell an additional 7%.
According to analysts, the drop comes as a direct result of Musk withdrawing his acquisition offer Friday evening, July 8.
When trading began this morning, shares were well below the $52.40 Musk was willing to buy them for. Also, this is a significant fall from the high of $70 they reached in 2021.
But why did Elon Musk pull out of the deal in the first place?
Musk HATES spam
In a nutshell, the billionaire claims Twitter provided insufficient data to determine the number of spam accounts.
However, some believe Elon Musk is sabotaging Twitter stock as a ploy to buy the company at a lower price.
At a technology conference in Miami, he was quoted as saying buying the social media platform for a lower price was “not off the table.”
Nevertheless, Twitter’s chairman tweeted the board was determined to close the deal that Musk himself had signed. Therefore, they plan on legal action with the multi-billionaire over abandonment of the acquisition.
On the whole, whether or not Elon Musk plans to sabotage Twitter stock for his benefit is unclear.
Still, the results of the future legal action will undoubtedly affect the company in some way. How is yet to be determined.
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