Tesla CEO Elon Musk reported that the purchase of Twitter has been temporarily suspended. The acquisition of the social network for about $44 billion was put on hold while more information about the fake accounts is obtained. The billionaire investor wants to confirm that these fake users are less than 5% of those on the platform.
Musk, on his own Twitter account, reported the decision to keep the purchase in a frozen state. However, he made it clear that he remains “committed to the acquisition.” This situation, however, raised the most varied speculation as to what might happen to Tesla’s CEO.
Elon Musk and an extended buyout
Many analysts have turned their attention to the termination clause. The contract, signed between Musk and Twitter, has a $1 billion breakup fee. Tesla’s CEO stated that he will conduct a “random” sample of about 100 followers to conduct an investigation of the issue.
Musk’s decision was endorsed in a Reuters article. He said that, according to a U.S. financial regulator, less than 5 percent were spam accounts. However, several of the data dated back to 2014. This data led to Musk’s concern about the possibility that this value is, today, well above.
To this can be added that, following the news that Musk was looking to acquire Twitter, both Tesla and the social network’s shares declined. On Friday, after this doubt about the purchase by fake accounts, there was again a depreciation of the platform’s shares.