Elon Musk’s plans to buy Twitter are stuck because the billionaire wants to ensure that the social media site “spam / fake account actually represents less than 5% of users”.
Musk’s tweet was shared with a Reuters article which revealed a Twitter filing that ‘junk’ accounts represented “less than 5% of its monetized daily active users in the first quarter”. However, as The Verge points out, many people believe the percentage is much higher.
Musk said the delay was only temporary and he was still “committed” to acquiring the site. However, the results of the investigation into the number of ‘junk’ accounts will probably have an impact on what happens next.
Also read: Twitter has accepted Elon Musk’s takeover offer
Spam / counterfeit accounts actually support accounts that represent less than 5% of users.
– Elon Musk (lonelonmusk) May 13, 2022
If less than 5% of users actually have a ‘junk’ account, the deal will probably go ahead as planned after a short delay. However, if that number is 5% or more, things can get messy because Musk can push for a lower purchase price.
Think of it as buying a car, if the seller says it only drove 30,000 miles (48,280 km) but it seems to have gone to hell and back, you probably want to check things out before you pull the trigger. Mask is basically doing the same thing with Twitter.
Whatever happens next, Wall Street seems to be getting nervous as Twitter’s stock price drops from $ 45.09 (£ 36.85 / € 43.36) to $ 40.40 (£ 33.02 / € 38.85) yesterday morning after Musk’s tweet. This is well below the target purchase price of ্ক 54.20 (£ 44.30 / € 52.12) per mask.
Still committed to the acquisition
– Elon Musk (lonelonmusk) May 13, 2022
