The whole Musk-Twitter saga has felt more like a soap opera than a bona fide corporate chapter. From the offer price, which is peculiarly linked to marijuana, to the use of the platform itself to tell the story, the last few months have been riveting, if you’re a bystander.
For Twitter’s shareholders on the other hand, the last few months have been a painful rollercoaster ride that seems to be getting ready to send passengers hurtling round the track one more time.
AJ Bell’s experts said: “The share price has unsurprisingly taken another tumble today as markets finally got their chance to pass judgement on this latest twist. Twitter has no choice but to take Mr Musk to court after he pulled out of the deal to take over the social media site he so loves to use, and perceived wisdom is that they have the law on their side.
“But has the business already lost? It couldn’t find another buyer prepared to take on Mr Musk, questions about the number of bots on the site have slipped into users’ consciousness and the company’s value has plummeted. Perhaps this is just Musk playing hardball trying to knock billions off the price. But at what cost?
“There were many who questioned how having a man like Elon Musk at the helm of his own personal mouthpiece might change the platform – for better or worse – and others worried about how diversifying his interests might impact on his other companies. Twitter’s shares aren’t the only ones to have tumbled today, Tesla’s also took a beating as markets considered what further impact this chapter might have on Mr Musk’s position.
“How will the story end and who will get the happy ending? Right now, nobody seems to be holding the winning hand. The question is, who has the best poker face and who’s already had their tell rumbled?”