Elon Musk May Not Purchase Twitter for Agreed $44 Billion, Say Investors


ffg
Spread the love

The stock market took the view for the first time on Tuesday that it was unlikely that Elon Musk will acquire Twitter for $44 billion (roughly Rs. 3,37,465 crore), as he originally agreed.

The implied probability of the deal closing at that price fell below 50 percent when Twitter shares hit $46.75 (roughly Rs. 3,600), based on the $54.20 (roughly Rs. 4,180) deal price and Twitter’s shares having closed at $39.31 (roughly Rs. 3,000) on April 1, the last trading day before Musk revealed he had amassed a stake in the social media company.

Twitter shares fell as much as 3 percent to touch a low of $46.50 (roughly Rs. 3,500) in afternoon trading.

Musk, the world’s richest person and also the chief executive of electric car maker Tesla, on April 25 clinched a deal to buy the social media platform. Twitter said at the time that Musk secured $25.5 billion (roughly Rs. 197 crore) of debt and margin loan financing and was providing a $21 billion (roughly Rs. 162 crore) equity commitment.

Musk, who is worth $268 billion (roughly Rs. 20,709,03 crore) according to Forbes, had said he was not primarily concerned with the economics of Twitter.

“Having a public platform that is maximally trusted and broadly inclusive is extremely important to the future of civilisation. I don’t care about the economics at all,” he said in a recent public talk.

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

How is Alexa faring in India? We discuss this on Orbital, the Gadgets 360 podcast. Orbital is available on Spotify, Gaana, JioSaavn, Google Podcasts, Apple Podcasts, Amazon Music and wherever you get your podcasts.

See also  Sri Lanka president declares new state of emergency as protests roil island

Spread the love

Scoopearth Team
Hi This is the the Admin Profile of Scoopearth. Scoopearth is a well known Digital Media Platform. We share Very Authentic and Meaningful information related to start-ups, technology, Digital Marketing, Business, Finance and Many more. Note : You Can Mail us at [email protected] for any further Queries.