Ilon Mask tried to buy Twitter 30 percent cheaper than April's offer

Ilon Mask tried to buy Twitter 30 percent cheaper than April's offer

For a long time, Ilon Mask's Twitter dispute over the number of bots in a daily monetized audience was thought to be aimed at agreeing to buy social media assets at a lower price than was agreed in April. This week, a billionaire announced his willingness to buy Twitter shares at the previous price of $54.20 a grand. Sources claim that a few weeks earlier, attempts had been made to reduce the price by up to 30%.

This was reported by The New York Times, with reference to its own channels of information. Initially, representatives of Ilon Mask tried to negotiate with Twitter to reduce the price from $44 billion to $31 billion, but by the end of September, the requested discount had been reduced from 30 to 10 per cent, and this was about $39.6 billion. The current capitalization of Twitter just exceeded $39.2 billion from yesterday's bidding, but ultimately Ilon Mask had to return to $44 billion, from which he began in April.

As you know, Twitter this week received an offer from Mask's representatives to make a deal on the terms of April, but both sides have not yet filed a motion for the court to close preparations for the meeting scheduled for 17 October. According to some reports, the new agreement was due to be signed this week, but so far the parties are trying to settle some formalities. Among them is a paragraph that exempts Ilona Maska from the need to buy Twitter if it is not possible to collect the necessary amount. If the terms of funding for the deal she was preparing since April have not changed, then Ilona Mask will have to find about $3 billion more to buy Twitter shares belonging to other investors.

Twitter representatives also insist on paying Ilon Mascom's penalty for the delay in preparing the deal, which was caused by his July refusal to make it under original conditions, and the company's lawyers would like to receive guarantees from the court to monitor Ilon Mask's commitment to purchase Twitter.

This week, Ilon Mask was supposed to testify under oath on Twitter, but since he announced his intention to buy a company, the relevant hearings may not take place or will be postponed to a later date. Formal reasons for the cancellation of the hearing scheduled for 17 October are not yet available, as Judge Kataleen McCormick, who is in charge of the case, explained the previous day.