Posted on 06/06/2022 7:17:56 AM PDT by Eccl 10:2
Shares of Twitter Inc. TWTR, -3.91% sank 5.0% in premarket trading Monday, after Elon Musk disclosed that he reiterated his request for information has he evaluates the number of spam and fake accounts on the social media company's platform. In a letter to Twitter via Skadden, Arps, Slate, Meagher & Flom LLP, Musk, the Tesla Inc. TSLA, 1.82% chief executive who has agreed to buy Twitter for $54.20 a share, said the refusal to provide the information is a "clear material breach" of Twitter's obligations under the merger deal, and Musk therefore reserves the right to terminate the deal if he chooses. Tesla's stock rallied 3.5% in premarket trading. "As Twitter's prospective owner, Mr. Musk is clearly entitled to the requested data to enable him to prepare for transitioning Twitter's business to his ownership and to facilitate his transaction financing," the letter stated. "To do both, he must have a complete and accurate understanding of the very core of Twitter's business model-its active user base." Musk said Twitter's refusal to provide the information makes him suspicious, and raises concerns over what he might uncover from the requested information. Twitter's stock has shed 7.1% year to date through Friday, while the S&P 500 SPX, 1.31% has lost 13.8%.
(Excerpt) Read more at marketwatch.com ...
He doesn’t even need to buy the company, now. He’s exposed them for the RATS they are.
He (or anyone else with Big Bucks) should go around offering to buy all kinds of leftists businesses and shine the light of day on them! :)
Like they have not been already........okie dokie.
Hope Twitter implodes, and rightly so.
Elon should yank his bid just to ensure such.
I hope this ends up destroying Twitter. Perhaps the insane wokesters are breaching the deal on purpose.
I am surprised that TWTR is only down $1.57.
I would have expected TWTR to be trading at $25.00 on this news.
$38.59 -1.57 (-3.91%)
He has every right to know what he is buying.
I’m certain it is spelled out in his purchase agreement.
Why Twitter does not provide accurate numbers is very suspicious.
The SEC should be investigating Twitter for falsely claiming the inflated numbers of followers. But, since a big chunk of those are Biden followers they will not bother.
Part of me believes that was his strategy from the outset.
If I'm right, we'll see some dramatic announcements in the coming weeks sure to shake up the social media world.
I don’t know if you’re a poker player but you just witnessed a world class angle shot.
Let the derivative suits begin.
Elon Musk is shaking the Twitter Tree
To spell it out clearly: The numbers of users and ‘views’ of every tweet is the most important number twitter has. It drives the pricing of its advertising. Advertisers use the numbers twitter gives then to determine if they should invest in marketing on twitter.
Musk is proving twitter is lying about those numbers by a large margin. Advertisers could seek lawsuits and cut the price they are willing to pay if the numbers are shown to be, say, 100% inflated, meaning twitter has less than half the users they claim.
The SEC could also prosecute twitter for lying on their SEC forms as well.
Twitter could be delisted off the stock market for this practice of lying about their health.
I think this was the end game all along by Musk: Destroy twitter.
Where the rubber meets the road.....
Financial institutions own 91.7% of Twitter shares. When they begin to get nervous and to lose money, things must change.
Here are the top 5
1. The Vanguard Group, Inc.
2. Elon Musk
3. Morgan Stanley
4. BlackRock Inc.
5. State Street Corp.
One can only wonder what is going on behind closed doors.
Did someone say Cribbage? Lol I got three fives and the outside Jack dealt to me the other day. Had the 5 of hearts been cut, you would have heard me yelling all the way from Wisconsin!
Back to subject, I think this was a move planned by Musk and Trump. I heard Nunes say that Elon talked to Trump before all of this took place, and Trump encouraged Musk to buy Twitter. That was all Nunes said, but I suspect it was a lot more involved than that.
He’s right. They are in breach of contract.
Twitter management has a real problem here. If they refuse to comply with due diligence requests, they could be sued by shareholders for derailing a profitable deal.
I think your post No. 13 is exactly right. Twitter management may be in serious trouble.
Don’t forget all the advertisers that have been lied to. Will they get a refund?
“He’s exposed them for the RATS they are.”
I have thought that was his intention, right from the start
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.