Nothing is going well between Elon Musk and Twitter. At the beginning of July, the social network attacked the billionaire in court following his backpedaling concerning his takeover offer. Twitter’s request is simple: honor its commitment to buy it out or pay a billion-dollar severance package. Few weeks later, it is therefore Elon Musk’s turn to file a complaint against his enemy brother.
Lies and betrayals
According to AFP, the boss of Tesla filed a complaint against Twitter last Friday. If the Delaware Court of Chancery considers that this 164-page document should not be made public for reasons of confidentiality, the Wall Street Journal argues that Elon Musk’s requests relate to the number of redeemable users.
According to the billionaire, Twitter allegedly lied about these users after accepting the buyout offer. The social network estimated that less than 5% of its active users were inauthentic. For Elon Musk, there is much more. This disagreement would therefore have led him to backtrack and cancel his $44 billion takeover proposal. This argument has been put forward many times by Elon Musk on social networks, in particular… Twitter.
Twitter is already paying the price
If justice will render its judgment on October 17, the effects of this case have already caused a stir at Twitter, especially on the stock market.
While Elon Musk had pledged to offer $ 54.20 per share in his buyout operation, the many public criticisms of the billionaire on the social network as well as the doubt installed as to the share of fake accounts caused the price to fall. of action.
Thus, on July 11, the eve of Twitter’s complaint against Elon Musk, Twitter shares were trading at barely 32 dollars. Friday, the day of the complaint filed by the billionaire, Twitter was listed at 41.61 dollars.
Better? Not sure. Because the share price is not the only problem of the social network. This series also caused the company’s advertising revenues to fall. Nothing is going anymore.