Home / News / World /  Elon Musk wants to go ahead with Twitter deal: Report

Elon Musk is recommending that his initial offer of $54.20 per share to take Twitter Inc. private be implemented, according to Bloomberg News. This news caused the shares of the social media company to soar. 

Before trading was paused for a second time, Twitter shares increased 12.7% to $47.93 while Tesla Inc, the electric vehicle firm that Musk is the CEO of, decreased by around 3%.

Also Read: Elon Musk makes mother sleep in garage - here’s why

According to Bloomberg anonymous sources, Musk made the suggestion in a letter to Twitter. Reuters' inquiries for comment on Twitter and Musk's attorneys were not immediately answered.

The announcement comes just days before a highly-anticipated legal battle between Musk and Twitter in Delaware's Court of Chancery on October 17. Twitter was planning to ask the court to require Musk to consummate the deal at $54.20 per share.

Also Read: Elon Musk has a plan ‘so that civilisation is not wiped out’

"This is a clear sign that Musk recognized heading into Delaware Court that the chances of winning vs. Twitter board was highly unlikely and this $44 billion deal was going to be completed one way or another," Wedbush analyst Dan Ives wrote in a note after the news.

Also Read: Is Elon Musk buying Manchester United?

Elon Musk agreed to purchase Twitter for $44 billion in April. But, within weeks, the world's richest man claimed there were far more bot accounts than Twitter had estimated, which was fewer than 5% of all users.

(With agency inputs)

ABOUT THE AUTHOR

Sounak Mukhopadhyay

Sounak Mukhopadhyay, who also goes by the name Sounak Mukherjee, has been producing digital news since 2012. He's worked for the International Business Times, The Inquisitr, and Moneycontrol in the past. He's also contributed to Free Press Journal and TheRichest with feature articles. He covers news for a wide range of subjects including business, finance, economy, politics and social media. Before working with digital news publications, he worked as a freelance content writer.
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