Elon Musk To Go Through With Twitter (TWTR) Deal After All
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Summary:
- On Tuesday Musk renewed his offer to buy Twitter.
- TWTR share price jumped in the wake of the news.
- “X, the everything app”
TWTR stock price jumped
Elon Musk attempted to pull out of the high-profile transaction, but on Tuesday he renewed his offer to pay $44 billion for the social networking site Twitter. The Tesla entrepreneur suggested the price in a letter to Twitter that was sent on Monday to the Securities and Exchange Commission. The price is equal to the original valuation of $54.20 per share. Late on Tuesday, Mr. Musk finally spoke up about the deal, writing on Twitter, "Buying Twitter is an accelerant to inventing X, the everything app."
The price of the social network's stock increased so dramatically when it was revealed that Elon Musk is trying to restart his acquisition of the company that runs it that the New York Stock Exchange twice had to temporarily halt trading, according to the Wall Street Journal. The "Flash Crash" of 2010 prompted the implementation of such pauses, which begin when stocks on major indexes change price by more than 5% in less than five minutes.
On Tuesday, Twitter shares increased by at least 12% at various points as Elon Musk declared he would stick with his original $44 billion offer to buy the social media platform.
After purchasing Twitter Inc., Elon Musk teased "X, the everything app." According to the billionaire's prior remarks, the service may resemble the popular Chinese app WeChat.
Beyond a single-line tweet, Musk didn't offer much information. However, the CEO of Tesla Inc. has admitted to admiring the Tencent Holdings Ltd. app, which has evolved from a messaging service to a mini-internet used by more than a billion people from China users daily.
He has expressed thoughts on improving Twitter, saying he wants it to be more like WeChat and TikTok, the popular video-sharing app owned by ByteDance Ltd. that has gained popularity in the US. He also drew comparisons to the so-called "super apps" that are popular in some parts of Asia and allow users to access a variety of services from communications to car summoning using a single smartphone application.
TWTR Price Chart
Sources: finance.yahoo.com
