Elon Tesla, a billionaire has apparently reconsidered the decision to purchase Twitter and is now ready to proceed with the takeover.
Musk wrote to the company to ask for a payment. He had previously offered a price several months prior to trying to end the agreement.
Surprise reversal happens just weeks before both parties were due in court.
Twitter had sued Musk to stop the takeover proceeding. However, it was found to have a stronger case.
Mr Musk’s lawyers signed the letter. The letter was signed by Mr Musk’s attorneys. They said that he would continue closing the transaction until he had received financing.
A Twitter spokesperson stated that the company received the proposal and added, “The intention is to close the deal at $54.20 per share” – the exact price Musk promised in April.
Twitter’s apparent victory sent its shares skyrocketing to $52 per share by more than 20%. Investors still doubt the deal’s viability.
Musk later tweeted that “buying Twitter is an accelerant to creating X, The Everything App.” “
Musk said that he would buy Twitter for $44 trillion. Musk stated that he wants the platform to be free of spam and allow for free speech.
The billionaire refused
The billionaire refused to buy the domain just a few weeks later. He is well-known for his impulsiveness and for being a prolific Twitter user. He expressed concern about fake accounts being more common than.
Executives denied the allegations. They claimed that Mr Musk, the world’s richest person with over $220bn in net wealth, wanted to leave because of concerns about the price.
This back and forth came after a sharp fall in value technology stocks, including Tesla, Mr Musk’s electric car company that is the foundation for much of his fortune.
The fight was scheduled for 17 October. Both sides engaged in lengthy court filings as well as private messages. There were also heated public spats about , where Musk has over 100 million followers.
In one such exchange, Parag Agrawal (the Twitter boss) responded to Musk with an emoticon referring to faecal matter.
The trial preparation involved many of the most important names in tech. Both companies needed communications about the deal from their lawyers.
Mr Musk was to be interviewed before the trial
Mr Musk was to be interviewed before the trial. Musk could have agreed to a $1bn split fee.
Industry watchers were shocked by the new twist. They questioned if it was a concrete offering or a delay tactic.
Elon Musk is abandoning his legal battle to back out of buying now offering to go through with his original $44 billion (€44 billion) bid for the social media platform.
The mercurial Tesla CEO made the offer in a letter to Twitter, Musk disclosed in a filing on Tuesday with the US Securities and Exchange Commission.
The offer comes just two weeks before Twitter’s lawsuit seeking to force Musk to go through with the deal goes to trial in Delaware Chancery Court.
which had been halted for much of the day pending release of the news, resumed trading late on Tuesday and soared 22 per cent to close at $52 (€52.13). That’s still below the price of $54.20 in Musk’s offer.
Musk remained quiet about the news on Twitter until late Tuesday afternoon, when he tweeted that “Buying Twitter is an accelerant to creating X, the everything app” without further explanation.
His U-turn is the latest twist in a high-profile saga involving the world’s richest man and one of the most influential social media platforms.
Much of the drama has played out on Twitter itself, with Musk – who has more than 100 million followers – lamenting that the company was failing to live up to its potential as a platform for free speech and had too many fake accounts, or “bots”.