Billionaire Investor, Elon Musk Says Twitter Deal ‘Temporarily On Hold’
Elon Musk, a billionaire investor, has placed his $44 billion purchase for Twitter Inc on hold, claiming a lack of details in support of the calculation that spam and bogus accounts account for fewer than 5% of users.
Elon Musk who revealed this in a tweet via his Twitter handle said “Twitter deal temporarily on hold pending details supporting calculation that spam/fake accounts do indeed represent less than 5% of users,” Musk tweeted.
Musk, the world’s richest man, had stated that removing “spam bots” from Twitter will be one of his top goals.
According to NDTV, shares of the social networking business plunged 17.7% to $37.10 in premarket trading, the lowest level since Musk revealed his ownership in the company in early April and made a “best and last” bid to take it private for $54.20 per share.
On Tuesday, when Twitter shares dipped below $46.75, the implied probability of the deal closing at the agreed price fell below 50% for the first time.
Twitter had earlier this month estimated that false or spam accounts represented fewer than 5% of its monetizable daily active users during the first quarter, when it recorded 229 million users who were served advertising.
“Twitter deal temporarily on hold pending details supporting calculation that spam/fake accounts do indeed represent less than 5% of users,” Musk tweeted on Friday.
The billionaire had earlier said he would reverse Twitter’s ban on former US President Donald Trump when he buys the social media platform, signaling his intention to cut moderation of the site.
