Elon Musk relaunches his plan to take over Twitter

Twitter’s trading was suspended on the New York Stock Exchange on Tuesday. waiting for informationafter a Bloomberg article which revealed this new offer from the boss of Tesla.

According to the economic news agency, Elon Musk sent a letter to Twitter on Monday, offering to acquire the platform for $54.20 a share, the amount he originally offered to the company. spring and that the board of directors had finally accepted.

The two parties had signed a contract at the end of April, but Elon Musk unilaterally reneged on this agreement in July.

The group with the blue bird then launched a lawsuit to force him to honor his commitment, and everything indicated that he was well positioned to win.

It’s a clear sign that Musk recognizes that his chances of winning against the board in a Delaware court are very slim and that the $44 billion buyout will happen one way or another. »

A quote from Dan Ives, analyst at Wedbush Securities

Elon Musk bombarded Twitter with criticism before and after the takeover deal was signed, including accusing the platform of censoring users and not cracking down enough on spam emails (Spam) and fake accounts.

He had justified his backtracking by saying that the proportion of automated accounts on the platform was well above 5%, the percentage put forward by the San Francisco company.

Faced with Twitter’s complaint, the president of the Delaware specialized court to deal with the case granted the company a quick trial, while Elon Musk wanted to wait until next year and was asking for astronomical amounts of data.

The trial was supposed to be held from October 17 to 21, but it will not take place if Twitter accepts this new offer.

Twitter is going to want a bulletproof contract this time around, which basically says, “give us the money and we can do it.” They’re going to want Musk to advance a good chunk of the total sum. »

A quote from Adam Badawi, professor of business law at UC Berkeley

Difficult to know at this stage why the multi-billionaire has changed his mind. Neither Twitter nor Elon Musk’s lawyers responded to requests from AFP immediately.

According to some speculation, Musk could have had to pay substantial interest if he had appealed, and therefore had to pay much more than the $54.20 per share. »

A quote from Adam Badawi

The Musk clan seemed to have gained a point when Peiter Zatko, the ex-Twitter security chief who was fired in January, accused the group of major security breaches in late August, in a report submitted to US authorities.

But during preliminary hearings with the judge, the multi-billionaire’s lawyers seemed to struggle to substantiate the charges on the automated accounts.

A Twitter attorney cited two reports by data analytics firms hired by the businessman, Cyabra and CounterAction, which put the rate of fake accounts at 11% and 5.3%, respectively. .

Musk a dit à Twitter et au monde entier dans sa lettre du 8juillet”,”text”:”Aucun de ces rapports ne soutient, même de loin, ce que M.Musk a dit à Twitter et au monde entier dans sa lettre du 8juillet”}}”>None of these reports even remotely supports what Mr. Musk told Twitter and the world in his July 8 letter.asserted the lawyer, Brad Wilson, during a hearing.

If the transaction goes through, the risk of regulators blocking it is low, according to Dan Ives.

But the idea again topical that the boss of Tesla and SpaceX become owner of Twitter will cause a storm of worries and questions from users and politiciansadded the analyst.

The April agreement had indeed been greeted with a lot of emotions, from the anxieties of the left to the joy of the right, at the idea that Elon Musk would relax the regulations and the moderation of content.

The platform will become an engine of radicalization if it applies even a fraction of what it promisedAngelo Carusone, president of the NGO Media Matters for America, said in a statement Tuesday.

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