Billionaire agrees to buy Twitter for $44bn
By: Connie Cao
Elon Musk, a billionaire, agreed to buy Twitter for $44 billion, alleging several violations of his contract.
After Elon Musk spent $44 billion to purchase Twitter in April, he announced the sale of Twitter.
Elon Musk started to think about the transaction in May. According to BBC News, he said he was putting the trade "on pause" as he awaited information about spam and fraudulent Twitter accounts.
Even though the purchase was finalized, Mr. Musk initially encountered some obstacles. Twitter has ignored his demands on multiple occasions. According to BBC News, the app occasionally refused his request for unknown reasons, claiming that Musk is an insufficient source of information. For many weeks, Elon made an effort to learn the number of daily active users.
Mr. Musk believes that 20% of users are spam or automated accounts. This announcement decreased shares by 7%.
And a lot of people's eyebrows are raised by this query. Twitter has recently struggled to delete bot accounts. According to BBC News, Mr. Musk further claims that this issue led to a recurring disregard for the information regarding bot accounts and this is why he wants to withdraw from the agreement.
Even if Elon Musk has officially decided to purchase Twitter, it is still unclear whether he has the option to reject the offer. Mr. Musk will need to demonstrate that Twitter has come close to where he is.
The purchase of Twitter significantly impacted his other businesses. Since Musk declared his love for Twitter, Tesla's stock price has fallen.
The agreement is still unclear, as many claim that Musk has threatened to break his contract with Twitter while Twitter has retaliated against Musk by casting doubt on phony accounts.