Musk shelves $44-billion Twitter deal 'temporarily', shares slump

As I said before, I always thought Musk was only up to his usual games when the made the bid.

Twitter shares fall almost 18% and I feel sorry for those who rushed in to buy the stock after the announcement. We have some such people even here on this board.

Musk shelves $44-billion Twitter deal 'temporarily', shares slump
https://finance.yahoo.com/news/musk-says-44-billion-twitter-095443759.html
(Reuters) -Elon Musk put his $44-billion deal for Twitter Inc "temporarily on hold" on Friday while he awaits data on the proportion of its fake accounts, sending the shares in the social media platform plunging.

Twitter shares fell 17.7% to $37.10 in premarket trading, their lowest level since Musk disclosed his stake in the company in early April and subsequently made a "best and final" offer to take it private for $54.20 per share.

 

Looks like he may be looking for a way out. That’s a shame, I was hoping he would follow through

 

I always had a feeling he was just playing his game like he has done in the past, and the excuse he is giving seems beyond lame (he said its because only 5% of the accounts are fake).

Or maybe he was serious, and then realized it was not a good deal for him.

 

Or .. he could have had a visit from the Goblins ..

 

I realize it's a lot to ask for folks to actually understand business valuation. And in Twitter's case, the total number of "fake" accounts means that there is a potential that many of said accounts are bots, automated computer generated heuristic pic services that don't actually represent real people. As a measure of actual usage by folks who might otherwise be monetized, it surely makes a difference on the calculation of the business's book or work and its value.

Given the nature of the company, of course if the board knows about this fraud and still reports on it for revenue, there are criminal and civil violations of the law that might taint or otherwise make Twitter unbuyable.

But the left will cheer. On the outside chance that they will still be able to control the information moving through the platform.

 

I think it was the aliens

 

Actually, Musk shelved the purchase, because ONLY 5% of users were bots (less than 5%, actually). It had absolutely nothing to do with them reporting them, or not reporting them for revenue, because they DO report them as 'bots'.

"Twitter deal temporarily on hold pending details supporting calculation that spam/fake accounts do indeed represent less than 5% of users" - Musk

He claimed he wanted to buy Twitter to "fight the bots", which was a reasoning which made no sense, and now he is using the low amount of bots as an excuse to back out of the deal.

 

I see the issue, I noted it in the previous post. You simply didn't understand the sentence as presented. He wants to make sure that bots don't make up more, thus as noted wouldn't otherwise substantively effect the value of the subscription. I get you don't understand that, but making up baseless assertions, well, it's what you do. I think it's interesting that you quote and then assume a quote you produced as substantive. It isn't that hard to see through your post though.

 

I'd like to know if he short-sold his stock before making the announcement,

 

He is probably looking for a lower price. While he may want to reform Twitter, he also wants to make money on it when he takes it public again. Musk has a lof of IQ.

 

Your words: "Given the nature of the company, of course if the board knows about this fraud and still reports on it for revenue, there are criminal and civil violations of the law that might taint or otherwise make Twitter unbuyable."

Verdict: False.

 

Well, he is doing a heck of a job destroying the shareholders investments. That's why I wonder if he short-sold him own holdings before making this announcement.

 

It didn't sound feasible from the start. I always had a weird feeling about it and I wonder how much of his back-pedaling is actually related to him saying that he would unban Trump and Trump said he was sticking with Truth Social (despite it's lackluster start).

Or, Musk and Trump are working together to bilk investors while playing with their own stock options. At best, I'd say Musk is unethical. At worst, he's contracted the terminal illness the Typhoid Orange Jesus keeps spreading around. Symptoms are no morals, values, ethics or sense of social responsibility and self-inflated ego that makes one think they are above the law (and they are as long as the cultists keep shrugging off the slime he leaves in his wake everywhere he goes).

 

Translation, totally went over your head. Twitter publicly put this in their financials. Obviously, if they are wrong, they defrauded their investors. It also revalues the company. Perhaps this is just too advanced for you?

 

Yes, if you have enough money, you can move markets. I have steered clear of the stock market since I as an individual retail investor would be at a serious disadvantage against the big boys. Instead I have invested in my own businesses. That way success or failure is up to me rather someone I don't even know.

 

Proof? Or just defamatory libel? Tsk... tsk....

 

Good advice.

 

He did the same with Doge Coin pushing the price to 75c telling everyone to buy. It's now at 8.9c

Edit: Though after seeing him promote doge when at 0.5c I was seriously thinking on NYE of 2020 of buying £10,000 worth with the strategy of selling at 5c to reclaim the initial £10,000 and then setting the sale price at 55c on rest of stock. It would only be 4 months waiting. Shame I didn't go through with the game

 

He's simply an opportunist. And, seems to want attention...

 

Yes, he has a history of doing it, so it he might have struck again.

It happened with Bitcoin & Tesla announcements too.

 

It's the ego and the insatiable greed.

 

Definitely not advice. Self employment is difficult and time consuming. It carries a lot of risk. It isn't for everyone. I've been self employed for about 30 years but not without some ups and downs.

I might recommend investing in rare cars or some other physical asset that increases in value. If you must enter the stock market, do it with a balanced portfolio to insure balanced risk. When I was in my mid twenties, I had a chance to buy a Ferrari 400 Super America that was given to the head mechanic of the the African racing team by Enzo Ferrari. The price tag was $4600. A knowledgeable friend explained that I couldn't afford to drive it. I passed. I bought a good used Alfa Romeo Spyder instead. Today the 60's SuperAmerica car sells for $2.5 million and who knows how much for the one that was given to Martelli by Ferrari. I could have bought it, drained it and stored it for 1/2 a century but I couldn't have guessed the results. If I had it do over again, I would have bought it and stored it and spent my life working for other people. Much easier approach.

 

Depends on what you do. I was self employed and worked for clients as a consultant, and the only issue was with doing the taxes, and that was solved by paying a tax accountant. I did end up working more, because taking time off meant lost income, while working overtime meant more. So, I was clocking 800 hours of OT a year before I had to slow down.

As for cars and stuff, - you'll have to know that field before getting in.

 

I did fine in business as well. But to say it was easy or risk free would be inaccurate in my case.

 

If you have to invest money to get a business started (like a restaurant) then there is a risk of losing that investment, but I was just billing for my hours so its was low risk, or no risk at all. It all depends on the nature of the business.