Elon Musk tossed another ball into Twitter on Monday.
At a tech conference in Miami, Mr. Musk, the world’s richest man, said a low-cost deal on Twitter was not out of the question as he attended the event.
Mr Musk’s comment came in response to a question about whether he was going to renegotiate the $ 44 billion acquisition of Twitter over the numbers he announced on how many bot or spam accounts there are on the social media service, an attendee said. Mr. Musk said Twitter’s rate – less than 5 percent of all accounts – is hard to believe.
Shares of Twitter fell 8 percent on Monday and closed at $ 37.39. It was much lower at $ 54.20 per share that Mr. Musk agreed to pay to buy a social media company last month.
Mr. Musk, who also heads space rocket company SpaceX and electric vehicle maker Tesla, is unclear about the status of the deal. Last Friday, he wrote on Twitter that he was buying Twitter “It is temporarily suspendedBefore he could get more details about the volume of spam and fake accounts on the platform. He later said he was still there. “CommittedOn the deal.
Parag Agrawal, CEO of Twitter, also posted a long tweet Monday Details of how the company counts the number of bots. He said the company shared “an overview of the appraisal process with Elon a week ago”. Mr. Musk responded to the topic with a pup emoji.
Mr. Musk did not immediately respond to a request for comment. Twitter declined to comment.
Analysts suggest Musk was trying to pull back from the deal or renegotiate the low price. Shares of the tech company have fallen since Mr. Musk first announced his acquisition of Twitter earlier this month. Shares of Tesla, Mr. Musk’s main source of wealth, have fallen nearly 30 percent.
Re-negotiating the deal will not be easy. In addition to the $ 1 billion break-up fee, Mr. Musk’s deal with Twitter includes a “specific performance point” that gives the company the right to sue him and force him to complete the deal before he can owe the debt. The transaction remains intact.
But Mr. Musk also created a very public headache for Twitter. On the weekends he On Twitter That Twitter’s legal department “called for a complaint” that it had breached a non-disclosure agreement that discussed its bot size 100. Mr Musk’s deal with Twitter also contained a non-derogatory clause prohibiting him from posting a negative tweet about the transaction.
Both sides have so far continued as if there was an agreement. Teams from both sides held a pre-scheduled meeting on Friday. (Twitter confirmed that the meeting was “part of the transaction planning process.”) On Friday, Brett Taylor, chairman of Twitter, wrote: “We remain faithful to our agreement.”
Mike Isaac Contributed to the report.