Elon Musk said on Friday that he had suspended his $44 billion offer to buy Twitter temporarily, noting that there were unresolved details about the fake accounts, which caused the shares of the micro-blogging company to decline at the beginning of Friday's trading.
"The Twitter deal is temporarily on hold pending details that support estimates that spam/fake accounts actually represent less than 5% of users," Musk added in a tweet.
Twitter deal temporarily on hold pending details supporting calculation that spam/fake accounts do indeed represent less than 5% of users https://t.co/Y2t0QMuuyn
— Elon Musk (@elonmusk) May 13, 2022
The social media company’s stock fell 17.7% to $37.10 in pre-opening US market trading, its lowest level since Musk revealed his stake in the company in early April. Then Musk made an offer he described as “the best and the last” to acquire it for 54.20. dollars per share.
In contrast, Twitter's stock declined, and Musk's electric car company, Tesla, rose nearly 5%.
The company estimated in May that spam accounts accounted for less than 5% of monetized daily active users in the first quarter.
Musk - the world's richest man and CEO of electric car company Tesla - said one of his priorities would be to remove "fake accounts" from the platform.
Informed sources said yesterday, Friday, that Musk is in talks to collect contributions and financing on special terms to finance his proposed acquisition of the social networking site Twitter, and to dispense with obtaining a marginal loan of $ 6.25 billion linked to the shares of the electric car maker Tesla owned by him.
Bloomberg news agency quoted sources as saying that the billionaire's advisers, led by the American investment bank Morgan Stanley, began receiving the wishes of potential investors to participate in providing $ 6 billion in contributions and financing on preferential terms.
It is noteworthy that Musk is the richest person in the world with a fortune of $216.2 billion, according to the Bloomberg Billionaires Index, but most of his wealth is in the form of assets and not liquid funds.
Musk has succeeded in many projects, such as manufacturing electric cars, sending missiles into space and helping the Ukrainian government to communicate with the Starlink satellite during the war, but the billionaire did not always follow his grand plans, and it did not have double results, when he posted a tweet that he had secured funding to make Tesla Especially at $420 per share;
The SEC later fined him $20 million.