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Musk to proceed with original $44-billion offer for Twitter before trial

Published 10/04/2022, 02:41 PM
Updated 10/05/2022, 12:22 AM
© Reuters. FILE PHOTO: Elon Musk's Twitter profile is seen on a smartphone placed on printed Twitter logos in this picture illustration taken April 28, 2022. REUTERS/Dado Ruvic/Illustration
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(Reuters) - Billionaire Elon Musk is planning to go ahead with his original $44-billion offer to take Twitter Inc (NYSE:TWTR) private, sources familiar with the matter told Reuters, potentially ending the bitter feud between the Tesla (NASDAQ:TSLA) chief and the social media company.

The development, which sent Twitter shares higher and Tesla shares down, comes as both parties prepare to go to trial on Oct. 17 over Musk's attempt to walk away from the deal.

Below is a snapshot of the Twitter takeover saga.

Date Development Twitter

share

reaction

April 4 Musk discloses over 9% stake in Jumps up

Twitter to 31%

April 5 Twitter says Musk will join company's Rises over

board 9%

April 10 Musk says he will not join Twitter Falls 3.3%

board

April 14 Musk offers $54.20/share, a 38% Rises 6%

premium to Twitter's April 1 closing

price

April 15 Twitter adopts poison pill to protect Gains 1.4%

company from takeover in next

session;

lags offer

price by

13%

April 21 Musk lines up $46.5 billion in Adds 2.6%,

financing for the deal but lags

Musk's

offer by

11.5%

April 25 Twitter board accepts Musk's offer Climbs

~7%;

trades

3.5% below

offer

price

April 29 Musk sells Tesla shares worth over $8 Rises

billion in a bid to finance takeover 2.3%;

trades

7.3% below

offer

price

May 2 Musk seeks to get more external Falls 0.8%

investors next

session;

trades

~10% below

offer

price

May 5 Musk discloses $7.14 billion funding; Rises

sources tell Reuters Musk could 4.4%;

temporarily lead Twitter after deal trades

closes 5.5% below

offer

price

May 11 Twitter co-founder Jack Dorsey says he Falls ~6%

will not return as CEO if offered next

session;

trades 20%

below

offer

price

May 13 Musk says Twitter deal on hold pending Drops 11%

review of spam and fake accounts. before

Later tweets he remains committed to paring

the deal losses;

trades 26%

below

offer

price

May 25 Twitter investors vote against Rises ~6%

re-electing Elon Musk ally to board next

session;

Musk pledges more equity to fund trades 27%

Twitter deal, scraps margin loan below

offer

price

May 26 Musk sued by Twitter investors for Rises ~6%;

stock 'manipulation' during takeover trades 27%

bid below

offer

price

May 27 The SEC looks into Musk's Twitter Rises 1%;

stake purchase trades 26%

below

offer

price

June 6 Musk threatens to walk away from the Drops 4%;

deal if Twitter fails to provide data trades 29%

on spam and fake accounts below

offer

price

July 8 Musk says he is terminating the deal Falls 7%

as Twitter breached provisions of the in

merger agreement. extended

trading

July 10 Twitter hires U.S. law firm Wachtell, Drops 11%

Lipton, Rosen & Katz LLP as it the next

prepares to sue Musk. day;

trades 40%

below

offer

price

July 11 Twitter fires back at Musk, accusing Climbs ~5%

him of "knowingly" breaching an the day

agreement to buy it. after;

trades

~36% below

offer

price

July 12 Twitter sues Musk for violating his Climbs

$44-billion deal. 1.4% the

next day

in

premarket

trading

July 15 Musk files a motion

opposing Twitter's request to speed up Rises

a trial over his plan to terminate the ~6%next

deal day;

trades

~29% below

offer

price

July 19 Twitter will get an

October trial in its legal fight to Climbs

hold Musk to his $44 billion takeover over 5%;

trades 25%

below

offer

price

July 22 Twitter blames battle with Musk and

weakening digital ad market for Closes

surprise fall in Q2 revenue and loss about 1%

higher

July 29 Musk confidentially Falls 2.7%

countersues Twitter, escalating his the next

legal fight against the company over day;

his bid to walk away from the deal trades

~25% below

offer

price

August 4 Twitter rejects Musk's

claims in a Delaware court filing that Rises ~4%

he was hoodwinked into signing the the next

deal, saying it was "implausible and day;

contrary to fact." trades

~22% below

offer

price

August 6 Musk says if Twitter could

provide method of sampling 100 Rises

accounts and how it confirmed the about 1%

accounts are real, his deal should next

proceed. session;

trades

~21% below

offer

price

Musk sells $6.9 billion

August worth of shares in Tesla saying the Rises

9 funds could be used to finance a 4.1% the

potential Twitter deal if he loses the next day;

legal battle. trades 18%

below

offer

price

A whistleblower complaint

August by former Twitter head of security Falls

23 Peiter "Mudge" Zatko becomes public. 7.4%;

It alleges the company misled 26.4%

regulators and investors about below

security and data privacy. offer

price

Delaware judge Kathaleen

McCormick (NYSE:MKC) allows Musk to add the Rise 6.7%

September whistleblower claims to his the next

7 countersuit against Twitter but denied day; trade

request to delay the trial. 24% below

offer

price

Musk proposes to go ahead

October with his original offer of $54.20 per Shares

4 share to take Twitter private, surge up

according to two sources. to 17.5%

before

© Reuters. Elon Musk's twitter account is seen on a smartphone in front of the Twitter logo in this photo illustration taken, April 15, 2022. REUTERS/Dado Ruvic/Illustration

paring

gains

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