The Elon Musk-Twitter (TWTR) saga took a turn towards resolution yesterday with news Musk would honor his deal to purchase Twitter for $44 billion. The drama for Tesla (TSLA) shareholders, however, will likely linger.
Tesla billionaire offered to buy Twitter at original price, potentially avoiding Delaware trial
Elon Musk's change of heart over his buyout deal for Twitter Inc was greeted with a wave of price target boosts on the social media company's stock, although Tesla investors feared that the billionaire was spreading himself too thin. Musk, who sold over $15 billion worth of Tesla Inc shares earlier in the year to fund the deal, had threatened to abandon the takeover, citing a large number of fake accounts and inviting a lawsuit from Twitter to close the deal at the original offer price of $44 billion. While there was no insight into another round of potential stock sale from Musk, Wedbush analyst Dan Ives warned that the Tesla CEO's interest in closing the deal would weigh on the company's shares.