Elon Musk withholds its Twitter buyout in consideration of three unresolved problems
Elon Musk has delay his Twitter buyoutdue to some "unresolved problems".
According to him, the problems need to be rectified prior to the settlement of the deal.
For the unversed, the Tesla and SpaceX CEO, made a $44 billion deal for Twitter; a mega acquisition with huge implications for the social media world.
In recent weeks, after Musk threatened to walk away, citing concerns over the number of fake accounts on the platform, the fate of the deal has become more uncertain.
However, breaking the deal can cause him $1million pay-off amount followed by law suits, just in case.
Speaking at an event, hosted by BLOOMBERG, Musk said there were a number of "unresolved matters" that will need to be fixed before he expedite the takeover.
Fake Accounts — Musk was concerned to know about the exact number of genuine and fake accounts on Twitter.
Debt Financing — the billionaire in May was committed to pay $33.5 billion in cash for the company. He has also received $7.1 billion in equity financing commitments from investors. Musk says the remainder of the funding will come in the form of bank loans, but how exactly this will play out remains uncertain.
Shareholder Approval — the final roadblock for Musk to clinch his acquisition to get approval from Twitter’s shareholders. Investors are expected to vote on the deal in late July or early August.