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Musk is trying to strike a deal with Twitter
Musk suggested closing the deal at its original price.
From the source
Representatives of Twitter and the American billionaire, Elon Musk, resumed work to reach an agreement that would allow Musk to buy the social media company and move forward with the acquisition of the company, with the parties racing to conclude an agreement by next Monday.
Musk effectively began negotiations earlier this week with his surprising proposal to close the deal at its original price of $44 billion, after seeking months to exit.
The negotiations, which followed an earlier attempt to negotiate a lower price, focus on ensuring that Elon Musk's debt financing remains in place and on terms to remain in litigation over the deal until it closes.
The Wall Street Journal reported that Musk is now requesting that the deal be conditional on receiving the necessary debt financing.
An informed source said that lawyers are trying to reach an agreement that would temporarily stop the trial scheduled for October 17, during the next few days, as stopping the trial would avoid Musk from submitting a legal statement.
The source added that the idea is to suspend the litigation until the deal is closed, at which point the lawsuit will be dropped.
The source warned that the two sides were still in an active dialogue, and that things could change quickly.
Musk had agreed to buy Twitter in April for $54.20 per share, or $44 billion.
But he later moved out of the deal, claiming, among other things, that Twitter miscounted the number of fake accounts.
In response, Twitter sued him last summer for him to respond to.
Musk backed out of the deal shortly after he signed the deal, and said he intended to cancel the purchase because he had been misled about the number of fake accounts, allegations that Twitter rejected.
In July, a Delaware judge agreed to speed up the trial at the request of Twitter, which said the takeover bid was hampering its financial performance.
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