(CTN News) _ Elon Musk wants to buy Twitter for the price he originally offered.
The Tesla CEO’s legal team sent a letter to Twitter Monday, which could end the legal fight over the merger that he tried to abandon in July.
After Bloomberg reported the news, shares of the struggling social media company soared before the Nasdaq halted trading. The stock of Twitter ended the day up 22%.
After Twitter’s value sank, along with other tech stocks and the broader market, Musk tried to back out of the deal in April for $54.20 per share, or $44 billion.
Elon Musk was sued by Twitter. In less than two weeks, the trial will begin. The company can now accept Musk’s renewed offer or force him to go to court.
Elon Musk legal team makes it clear that the offer is only good if Twitter drops its lawsuit. Twitter’s spokesperson gave few hints about its future plans.
It was a tumultuous courtship Twitter didn’t want
Since Musk revealed his interest in Twitter in April, the two have been at odds. Musk went from Twitter’s biggest individual shareholder to uninvited bidder to unwilling buyer in just a few months.
As Twitter tried to force Musk to buy it even as it acknowledged that his ownership was causing disruption to its struggling business, it found itself in an awkward position.
Elon Musk has used his Twitter account to mock the company, critique its products, attack its executives and keep the world guessing about his plans.
Musk turned down an invitation to join the company’s board and then offered to buy Twitter for $54.20 a share, or $44 billion.
The company initially resisted Musk’s advances, adopting what it called a “poison pill” to give the board and management time to assess his offer. Musk tweeted veiled references to making a tender offer directly to Twitter shareholders.
A high-stakes trial is set for this month after Musk’s change of heart
Elon Musk suggested he had cold feet just as the agreement was being signed. One of his goals in owning Twitter was to clean up its spam and automated bot problems.
In time, he began accusing Twitter of misleading him and the public about the scale of the bot problem, and said he didn’t want to buy Twitter. For years, Twitter estimates 5% of its users aren’t real.
He terminated the agreement in early July, citing Twitter’s user numbers and allegations of deception. After Musk’s sale, Twitter sued to hold him accountable.
This week, Musk will be deposed. Oct. 17 is the start of a five-day trial.