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Tue Oct 4, 2022, 12:03 PM

Twitter shares surge 22% after Elon Musk revives deal to buy company at original price

Last edited Tue Oct 4, 2022, 04:55 PM - Edit history (4)

Source: CNBC

Elon Musk has reversed course and is again proposing to buy Twitter for $54.20 a share, according to a regulatory filing on Tuesday. Twitter shares closed up more than 22% on the news. The social media company issued a statement saying it had received the letter and said, “The intention of the Company is to close the transaction at $54.20 per share.”

A deal could happen as soon as Friday, sources told CNBC. The stock was halted earlier in the day after Bloomberg first reported on the Tesla CEO’s plans to go forth with his deal to acquire the company. The SEC filing says Musk sent a letter to Twitter on Monday, notifying the company of his intent to proceed with the transaction agreed upon on April 25, the day the deal was publicly announced.

A few weeks after Musk agreed to that deal, 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. Twitter countered, however, that Musk’s assertions of fraud were incorrect and were based on a misunderstanding of the way the company tallies bots and fake accounts on its platform.

Read more: https://www.cnbc.com/2022/10/04/twitter-shares-halted-on-report-that-musk-plans-to-go-through-with-deal-at-54point20-a-share.html



Article being updated.

Last article and headline -

Elon Musk offers to buy Twitter at original price days before trial: Sources

Elon Musk has reversed course and is again proposing to buy Twitter for $54.20 a share, according to a regulatory filing on Tuesday. A deal could happen as soon as Friday, sources told CNBC. 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.

The SEC filing says Musk sent a letter to Twitter on Monday, notifying the company of his intent to proceed with the transaction agreed upon on April 25, the day the deal was publicly announced. A few weeks after Musk agreed to that deal, 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. Twitter countered, however, that Musk's assertions of fraud were incorrect and were based on a misunderstanding of the way the company tallies bots and fake accounts on its platform. Musk also alleged Twitter failed to provide him with the necessary data related to spam and bots, which Twitter denied.

Twitter alleged Musk was looking for a reason to back out of the deal when the company's shares dropped alongside a broader decline in the overall market. Although Musk sought to delay the trial date, Delaware Chancellor Kathaleen McCormick rejected his wish citing the potential for Twitter to incur "irreparable harm." The chancellor did allow Musk and his attorneys to amend their counterclaim to include certain accusations made by Twitter's former head of security in a separate whistleblower suit against the company.


Previous article -

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. Twitter countered, however, that Musk's assertions of fraud were incorrect and were based on a misunderstanding of the way the company tallies bots and fake accounts on its platform.Musk also alleged Twitter failed to provide him with the necessary data related to spam and bots, which Twitter denied.

Twitter alleged Musk was looking for a reason to back out of the deal when the company's shares dropped alongside a broader decline in the overall market. Although Musk sought to delay the trial date, Delaware Chancellor Kathaleen McCormick rejected his wish citing the potential for Twitter to incur "irreparable harm." The chancellor did allow Musk and his attorneys to amend their counterclaim to include certain accusations made by Twitter's former head of security in a separate whistleblower suit against the company.


Last headline -

Elon Musk revives Twitter proposal at original price just days before trial: Sources


Original article and headline -

Elon Musk changes course and proposes going through with Twitter deal at original price: Sources

Elon Musk has reversed course and is again proposing to buy Twitter for $54.20 a share, according to sources familiar with the matter. 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 that the social media company was misleading investors by providing false numbers in corporate filings with the Securities and Exchange Commission.

Twitter countered, however, that Musk's assertions of fraud were incorrect and were based on a misunderstanding of the way the company tallies bots and fake accounts on its platform. Twitter alleged that Musk was looking for a reason to back out of the deal when the company's shares dropped alongside a broader decline in the overall market. CNBC has learned that Musk could own Twitter within a matter of days and that all litigation would come to an end.


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Reply Twitter shares surge 22% after Elon Musk revives deal to buy company at original price (Original post)
BumRushDaShow Oct 4 OP
SunSeeker Oct 4 #1
Traildogbob Oct 4 #2
Unwind Your Mind Oct 4 #3
Calista241 Oct 4 #10
moonshinegnomie Oct 4 #12
C_U_L8R Oct 4 #4
PortTack Oct 4 #5
efhmc Oct 4 #7
PortTack Oct 4 #14
The_Casual_Observer Oct 4 #6
mahina Oct 4 #9
moniss Oct 4 #8
Calista241 Oct 4 #11
moniss Oct 6 #22
LudwigPastorius Oct 4 #13
former9thward Oct 4 #15
LudwigPastorius Oct 4 #17
Lucky Luciano Oct 4 #18
LudwigPastorius Oct 4 #20
Mawspam2 Oct 4 #16
summer_in_TX Oct 4 #19
purr-rat beauty Oct 4 #21

Response to BumRushDaShow (Original post)

Tue Oct 4, 2022, 12:13 PM

1. Trump will be back on Twitter, but the media publishes his Truth Social posts, so no big difference.

I guess Elon realized he'd lose the lawsuit, and an expensive trial was set for October 17.

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Response to BumRushDaShow (Original post)

Tue Oct 4, 2022, 12:13 PM

2. And Putin

Will pay for it all. Cheaper than any all out war with the States of America. Musk just said to Pootie, I got your back. Buy me this propaganda machine and we will destroy the States. And give us billionaires what remains.

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Response to BumRushDaShow (Original post)

Tue Oct 4, 2022, 12:16 PM

3. If I owned twitter stock I would sell it today

This is classic Musk manipulation. He’ll back out in coming days and the price will drop again.

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Response to Unwind Your Mind (Reply #3)

Tue Oct 4, 2022, 01:23 PM

10. I don't see why you would. If the letter is real, he basically can't back out.

And the market has stopped trading the stock while the lawsuit parties negotiate.

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Response to Unwind Your Mind (Reply #3)

Tue Oct 4, 2022, 02:34 PM

12. when the stock reopens i expect it to open right near the 54.20 buyout price

he filed a form with the sec saying he intends to go thru with the buyout and theres a good chance it closes in the next 2 weeks.

I dont think theres much chance of him backing out. he realized he would lose his lawsuit and have to pay legal expenses on top of the 54.20/share.


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Response to BumRushDaShow (Original post)

Tue Oct 4, 2022, 12:26 PM

4. Flakey, savvy or just...

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Response to BumRushDaShow (Original post)

Tue Oct 4, 2022, 12:28 PM

5. If the orange mass is allowed back, it will be time to end my twitter account

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Response to PortTack (Reply #5)

Tue Oct 4, 2022, 12:46 PM

7. Thousands feel the same.

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Response to efhmc (Reply #7)

Tue Oct 4, 2022, 03:55 PM

14. Wouldn't that be great!

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Response to BumRushDaShow (Original post)

Tue Oct 4, 2022, 12:44 PM

6. It's some kind of stalling tactic he hasn't got the cash to buy it. He's a jerk.

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Response to The_Casual_Observer (Reply #6)

Tue Oct 4, 2022, 01:12 PM

9. I sure hope you are right. It's a very useful platform

For gathering news in an era of dying newspapers and hyper-biased media.

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Response to BumRushDaShow (Original post)

Tue Oct 4, 2022, 12:54 PM

8. Obvious major stock price

manipulation being done over and over again. Trading should be halted until the current court case is resolved. I wonder how many of his pals he tipped off before his original offer (stock runs up benefiting those who had bought prior shares using inside info), then the change of heart and the stock plummets (benefiting those who sold short prior to the announcement using insider info) and now the 2nd change of heart which of course benefits those pals as in the first scenario.

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Response to moniss (Reply #8)

Tue Oct 4, 2022, 01:24 PM

11. Trading is halted, and was halted almost immediately when word of the letter got out. n/t

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Response to Calista241 (Reply #11)

Thu Oct 6, 2022, 08:28 AM

22. Yes they halted

but most of the "gains" are still to be had once the trading resumes. The SEC has been very weak not only with Musk but others as well.

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Response to BumRushDaShow (Original post)

Tue Oct 4, 2022, 02:39 PM

13. As I suspected,...

the whole balk-at-the-sale was just a stalling tactic to wait until the stock went back up closer to his offer.

Musk is a real prick.

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Response to LudwigPastorius (Reply #13)

Tue Oct 4, 2022, 04:07 PM

15. Not how it works.

Musk has a set price in his offer to buy. It matters not what the Twitter stock price was or is.

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Response to former9thward (Reply #15)

Tue Oct 4, 2022, 07:44 PM

17. It matters in regard to the value of the company, and presumably to the investors he was asking...

to provide additional funding for the purchase.

Asking someone to pony up $54.20 a share in July for a stock that was selling for $32.65 is a leap of faith even for a rich Elon fanboy.

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Response to LudwigPastorius (Reply #17)

Tue Oct 4, 2022, 08:03 PM

18. You definitely don't know how this works.

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Response to Lucky Luciano (Reply #18)


Response to BumRushDaShow (Original post)

Tue Oct 4, 2022, 04:35 PM

16. Too late, moran. Twitter should demand a 20% premium...

...on top of the original price for jerking them around or go to trial where he'll lose the $5B breakup fee.

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Response to BumRushDaShow (Original post)

Tue Oct 4, 2022, 08:09 PM

19. If the deal goes through before November 8...

there's time for Musk to affect the outcome of the election.

Gotta hope the SEC and courts move slowly.

In the meantime, I've been looking around for a social media site and app to use instead. It isn't perfect, and I haven't been back for quite awhile because of all the connections I already have on Twitter. But here's what they say about themselves.

CounterSocial is the first Social Network Platform to take a zero-tolerance stance to hostile nations, bot accounts and trolls who are weaponizing OUR social media platforms and freedoms to engage in influence operations against us. And we’re here to counter it

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Response to BumRushDaShow (Original post)

Tue Oct 4, 2022, 09:16 PM

21. stock market manipulation

all about playing the stocks

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