Since April, Elon Musk and Twitter have managed to stay in the spotlight for all the wrong reasons. Delaware Court of Chancery on Tuesday asked the Tesla owner to close his deal with Twitter before 28 October. Musk first bought so many shares that he posed a threat to becoming the largest investor in the company. Then out of the blue, he offered to buy Twitter for $44 billion – a proposal to which Twitter agreed.
Then came a series of checks where Musk demanded data about spam accounts on Twitter. He did receive a report about the same but was unsatisfied with the number and claimed that the actual number was higher. After that, Musk backed from the deal leaving Twitter high and dry. Twitter sued Musk and is not willing to end all litigation unless the deal closes successfully.
Elon Musk and Twitter: Will the deal come to fruition this month?
The current status is that Twitter isn’t eager to drop the suit against Musk. So, Musk has to appear for trial on 17 October. But he appealed to the court that Twitter isn’t willing to budge and drop the suit. He further added that the trial could harm the loans that he secured from various sources and could ultimately kill the deal.
While it may sound legitimate, if you go a couple of months back, Elon was adamant about taking Twitter to court. It is an interesting turn of events where Musk wants to avoid appearing for trial at all costs. But Twitter doesn’t want to drop the suit because it fears that Musk would back out of the deal once again. There is a lot of mistrust between the two parties after Musk backed off previously.
CNN reported that Musk secured a large chunk of financing from Morgan Stanley
and Bank of America to come up with $44 billion. Twitter restructured the management amid heavy losses and isn’t hiring as aggressively as it was doing last year. Only time will tell if Musk becomes the proud owner of Twitter and makes his ‘questionable’ changes to the platform.