Trading in Twitter stock halted after the stock soared on reports that Elon Musk was going ahead with his $44 billion deal to buy the company after months of legal wrangling.
The news, based on anonymous sources, was first reported by Bloomberg News.
Musk offered to buy the San Francisco-based company for $54.20. Shares rose nearly 13 percent to $47.95 before trading halted.
According to Tuesday’s report, Musk sent a letter to Twitter offering to close the deal, which already has shareholder approval, at the original price.
Twitter did not immediately respond to messages for comment on Tuesday.
The trial designed to force Musk to buy Twitter is scheduled to begin Oct. 17 in the Delaware Chancery Court.
Musk’s argument to win the case — and thereby walk away from the deal — was largely based on his claim that Twitter misrepresented how it measures the size of “spam bot” accounts, which are useless to advertisers. But most legal experts believed he faced an uphill battle to convince Chancellor Kathaleen St. Jude McCormick, the court’s chief justice, that something had changed since April’s merger agreement that warranted ending the deal.
https://www.independent.ie/business/world/elon-musk-will-push-ahead-with-twitter-takeover-at-full-price-42040042.html Elon Musk will push full price takeover of Twitter