Will Elon Musk Pay for Twitter Breakup Fee?

MillionaireTiger
2022-07-14

Will Elon Musk Pay for Twitter Breakup Fee?

Tech entrepreneur Elon Musk announced his intention to withdraw from his widely publicized $44 billion takeover attempt of social media platform $Twitter(TWTR)$, a deal he signed off on in April.

But Musk can’t just walk away. Clauses in the initial agreement mean that a court battle is likely, something the chairman of Twitter’s board has confirmed the company is willing to do to secure the deal at “the price and terms agreed upon.”

But aside from possible bot accounts, a deal struck for $54.20 per share is also significantly more than what Twitter’s stock is worth now.

And one chart shows just how much things have changed over the past three months.

Wedbush analyst Daniel Ives states Twitter’s stock could fall to the $25 to $30 range this week as the chances of a deal being salvaged grow dim.

“This is a disaster scenario for Twitter and its Board as now the company will battle Musk in an elongated court battle to recoup the deal and/or the breakup fee of $1 billion at minimum,” Ives wrote, adding that Wall Street is becoming “wary of the looming court battle ahead between Musk and the Twitter board.”

​Will Elon Musk Pay for Twitter Breakup Fee?

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Will Elon Musk Pay for Twitter Breakup Fee?
Twitter will battle Musk in an elongated court battle to recoup the deal and/or the breakup fee of $1 billion at minimum. Will Musk pay for it?
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Comments

  • Joker_Smile
    2022-07-15
    Joker_Smile
    i doubt he will pay. he's a shrewd and clever businessman. managed to make use of twitter and sell his tesla shares without the price of tesla dropping massively. i am sure he has a plan in mind.
    • JC888: 
      So you think the court and SEC will allow him to walk away - after creating all the disruptions - Scott free?
  • Jasmine1205
    2022-07-14
    Jasmine1205
    given his character he will just find a way and argue out of it
    • JC888: 
      For the record he lost to SEC prev n had to step down as TSLA chairman as a result. Just that he choose not to learn. That is fine too. Just pay for committed mistake again, thats all
  • Maky
    2022-07-15
    Maky
    If his strategy is to find a market credible way to sell his TSLA shares without causing its prices to fall, and since he has achieved this, he will pay after dragging
  • Big Cat
    2022-07-15
    Big Cat
    No, he won't [Sly].
    Will u just give away 1B with no contribution to the world but only to leechers [Doubt]?
    Court time [Sly].
  • Jadenkho
    2022-07-14
    Jadenkho
    He will not pay a single penny for the break up fee because he will buy the whole $Twitter(TWTR)$ 🤣🤣🤣
    • JC888: 
      If he buys TWTR it is fine too as what TWTR is holding him to it. It will be the beginning of his major headache that's all.
    • JadenkhoReplySR050321: 
      I did click the blue link✌️thank you for reminding me🥂
    • SR050321: 
      Click on the link to post
  • SR050321
    2022-07-14
    SR050321
    He has to pay if court decided it, however both sides of lawyer are the one earning if both continue to fight. I Believe $Twitter(TWTR)$ will just fine with or without Elon. [Smile]
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