Elon Musk threw another curveball on his Twitter takeover on Monday.
At a technology conference in Miami, Mr. Musk, the world’s richest man, said it was “out of the question” to bargain for Twitter at a lower price, according to a person attending the event.
Mr. Musk’s comments came in response to a question about whether he would renegotiate his planned $ 44 billion acquisition of Twitter over how many bots, or spam accounts, exist on the social media service, the person in attendance said. Mr. Musk said Twitter’s figure – less than 5 percent of all accounts – was hard to believe.
Shares of Twitter fell 8 percent to close at .3 37.39 on Monday. That Mr. Musk agreed last month to pay to buy the social media company.
Mr. Musk, who also heads the rocket company SpaceX and electric automaker Tesla, has been confused about the status of the deal. Last Friday, he said he had bought Twitter “Temporarily on holdUnless he can get more details about the volume of spam and fake accounts on the platform. He later said that he was still “Committed“For a deal.
Twitter chief executive Parag Agarwal also posted a lengthy tweet thread Monday Details of how the company calculates the number of its bots. He said the company shared “an overview of the estimating process with Elon a week ago”. Mr. Kasturi responded to the thread with a pop emoji.
Mr. Musk did not immediately respond to a request for comment. Twitter declined to comment.
Analysts have speculated that Mr. Musk is trying to pull out of the deal or renegotiate at a lower price. The shares of the tech company were bought by Shri. Musk announced his acquisition of Twitter earlier this month. Shares of Tesla, which Mr. Musk’s main source of wealth has fallen by about 30 percent.
It will not be easy to renegotiate the deal. In addition to the 1 billion breakup fee, Mr. Musk’s deal with Twitter includes a “certain performance clause” that gives the company the right to sue him and force him to close the deal as long as the debt he owes remains intact.
But Mr. Musk has also created a very public headache for Twitter. Over the weekend, he Tweeted That Twitter’s legal department was “called upon to complain” that it had violated the non-disclosure agreement by discussing the size of its 100 boat sample. Musk’s deal with Twitter also has a non-obscure clause that prohibits him from tweeting negatively about the transaction.
Both sides have so far continued to act as if a deal had been struck. Teams from both the parties held a pre-arranged meeting on Friday. (Twitter confirmed that the meeting was “part of the transaction planning process.”) On Friday, Twitter chairman Brett Taylor tweeted: “We are committed to our agreement.,
Mike Isaac Contribution Report.