Elon Musk Says Twitter Deal Temporarily on Hold, Twitter Shares Plunge 19%

Twitter Stock Tumbles 19% in Premarket Trading, while Tesla shares jump over 6%.

Elon Musk says Twitter deal temporarily on hold pending details supporting calculation that Spam/Fake accounts do indeed represent less than 5% of user.

Elon Musk's deal to buy Twitter is temporarily on hold pending details, the Tesla founder tweeted Friday.

"Twitter deal temporarily on hold pending details supporting calculation that spam/fake accounts do indeed represent less than 5% of users," Musk said.

He quote tweeted a Reuters story from May 2 that referenced Twitter's 10-Q filing noting that spam and on fake accounts account for fewer than 5% of monetizable daily active users.

It is unclear why this would have such an impact as to halt Musk's takeoever big of $54.20 per share.

"We have performed an internal review of a sample of accounts and estimate that the average of false or spam accounts during the first quarter of 2022 represented fewer than 5% of our mDAU during the quarter," Twitter said in the filing. "The false or spam accounts for a period represents the average of false or spam accounts in the samples during each monthly analysis period during the quarter."

"In making this determination, we applied significant judgment, so our estimation of false or spam accounts may not accurately represent the actual number of such accounts, and the actual number of false or spam accounts could be higher than we have estimated."