Truth Social Up 17% on Rumor Elon Musk Walks Away from Twitter Deal
2022.07.09 03:41
Truth Social (DWAC) Up 17% on Rumor Elon Musk Walks Away from Twitter (TWTR) Deal
Shares of Donald Trump’s Truth Social (to go public via merger with Digital World Acquisition Corp (DWAC)) are trading up over 16% in Friday’s after hours session.
The gains are attributed to rumors Elon Musk is walking away from the controversial deal to acquire Twitter (NYSE:TWTR)) for $44B – Tesla (NASDAQ:TSLA) and SpaceX’s CEO is claiming Twitter’s breached its contractual obligations.
The rumor doesn’t come as a surprise – shortly after the original acquisition announcement, the social media giant and the eccentric billionaire have gotten in a bitter public dispute over the true number of bots on Twitter’s platform.
Elon Musk said bots represent as much 20% of Twitter accounts, while the company insisted on its official claim of less than 5%.
Twitter’s board announced it remains committed to the deal at $54.20/sh or ~$44B.
TWTR shares are losing over 5% after hours, adding to a 5% loss in Friday’s trading session.
By Vlad Schepkov
