Elon Musk's $44 Billion Deal To Buy Twitter Could Be Repriced At A Lower Rate

Elon Musk's $44 billion deal to buy Twitter could undergo a few changes. According to short-seller Hindenburg Research, Elon Musk's $44 billion offer to buy Twitter could be repriced if Musk decides to walk away from the deal.

Researchers believe Twitter's value could be priced much lower in case Musk were to pull out. "If Elon Musk's bid for Twitter disappeared tomorrow, Twitter's equity would fall by 50 percent from current levels. Consequently, we see a significant risk that the deal gets repriced lower," Hindenburg wrote on Twitter, while adding that "Musk holds all the cards here."

Reuters

Elon Musk responded to the claims. "Interesting. Don't forget to look on the bright side of life sometimes!" Hindenburg also wrote that Tesla's shareholders would be thankful to Musk if the deal went through at a "more reasonable price." In April, Elon Musk made his offer to take Twitter private for $54.20 per share, calling it the "best and final" offer.

Is Trump coming back to Twitter?

In other Musk's Twitter related news, the Tesla and SpaceX founder intends to "reverse" former US President Donald Trump's Twitter ban as soon as the deal is processed. In conversation with the Financial Times, Musk said the following - "I think bans just fundamentally undermine trust in Twitter as a town square where everyone can voice their opinion."

Reuters

Also read: Elon Musk Plans To Quadruple Twitter Users To 931 Million By 2028

In addition, Musk said that accounts that are simply "destructive to the world" ought to be punished with temporary suspensions or through deletion of individual Tweets. He added that he and Twitter co-founder Jack Dorsey both agree that permanent suspensions like that of Donald Trump "should be extremely rare."

Reuters

Also read: Elon Musk's Vision For Twitter's Future Includes Monetised Tweets And Salary Cuts

While Musk may think that harmful rhetoric that targets minorities, human rights, and creates deep ridges in secular societies qualifies as "free speech," it is mostly hate speech. And it was hate speech and misinformation that got Republican President Trump banned in the first place.

Reuters

Also read: Under Elon Musk, Twitter Could Levy A Small Fee From Commercial, Government Users

What do you think about Musk's plans for Twitter? Let us know in the comments below. For more in the world of technology and science, keep reading Indiatimes.com.

References

Reuters. (2022b, May 9). Musk¡¯s $44-bln Twitter deal at risk of being repriced lower - Hindenburg.

Reuters. (2022c, May 10). Investors think unlikely Musk buys Twitter at agreed $44 bln price.

Waters, R. (2022, May 10). Elon Musk says he would reverse Donald Trump¡¯s ¡®morally wrong¡¯ Twitter ban. Financial Times.