Twitter Stocks Sinks as Musk Deal Said in Peril to No One’s Surprise
2022.07.08 03:46
Twitter (TWTR) Stocks Sinks as Musk Deal Said in Peril to No One’s Surprise
By Investing.com Staff
Twitter (NYSE:TWTR) shares fell another 5% after-hours Thursday following a report from the Washington Post that Elon Musk’s deal to buy the social media giant is at risk after Musk’s camp concluded Twitter’s figures on spam accounts are not verifiable.
Musk’s team reportedly stopped engaging in talks around funding the deal, including with a party named as a likely backer.
A “change in direction” from Musk could come soon, the report added.
Wall Street traders are already placing a very low chance that the deal closes, or at least at the agreed upon $54.20 per share price. Shares of Twitter closed Thursday’s trading session with a merger arb spread of around 40%. Normally deals expected to close trade at spreads of around 3% to 5%.
