Twitter stock (NYSE:TWTR) increased. Elon Musk has until Thursday to finalize his $44 billion acquisition of the social media company, but regulators at the New York Stock Exchange are preparing to halt trading of the shares tomorrow. This is due to a deadline set by the Delaware court.
Musk appears prepared to complete the months-long merger agreement before tomorrow’s deadline after visiting the company’s San Francisco offices yesterday and sharing images of his visit with his 110.2 million Twitter followers.
The billionaire Tesla CEO reportedly told some Twitter (NYSE:TWTR) employees yesterday that he does not plan to reduce as much as 75% of the group’s workforce when he assumes control of the company at 5 pm Eastern time on October 28. The billionaire Tesla CEO is anticipated to officially address Twitter employees on Friday.
In a statement to advertisers published earlier this morning, he did, however, outline his vision for the site, adamantly stating that he didn’t want to convert it into a “free-for-all hellscape” but rather a “shared digital town square.”
Fundamentally, Twitter (NYSE:TWTR) wants to be the most reputable advertising platform in the world that helps you build your brand and expand your business, according to Musk. “I want to say thank you to everyone who has partnered with us. Together, let’s create something spectacular.”
Twitter Stock Price
Early Thursday trading saw Twitter shares rise 1.17% to trade at $53.98 per share, just shy of the takeover price, in what was likely the firm’s final full trading day as a public company.
However, given the cautions on advertising spending made by businesses like Snap (SNAP), Google (GOOGL), and Meta (META), as well as the fact that the Nasdaq has dropped nearly 20% since the takeover was first initiated on April 14, the $54.20 per share price Musk has been ordered to pay, looks wildly overvalued.
On October 20, Musk said to Tesla investors that he is “excited about the Twitter scenario,” despite admitting that “myself and the other investors are certainly overpaying” for the social media company.
Even if Musk closes the deal as planned over the next several days, the takeover may still encounter obstacles.
Bloomberg reported last week that the agreement might be subject to a national security review due to growing concern over a number of recent comments made by Musk that seem to indicate a pro-Russian stance in light of that nation’s invasion of Ukraine and his threat to sever access to the Starlink satellite service, which he blamed on the operator SpaceX’s financial obligations.
Featured Image- Unsplash @ Alexander Shatov