Musk’s Twitter Deal Dodges US Antitrust Review

June 4th, 2022 6:22 PM

On Friday, Elon Musk’s deal to purchase Twitter for $44 billion just avoided a lengthy review period.

Reuters reported that the deal is ready for closing. A closer review of the purchase agreement by government officials could have taken months.

“Under antitrust law, deals are reported to the U.S. government for review by either the Justice Department or the Federal Trade Commission. If either agency had filed a ‘second request’ for documents, the deal would have faced an investigation that could have lasted months,” Reuters reported.

Last month, The New York Times reported that Twitter was prepared to “enforce” the deal if necessary. 

"The board and Mr. Musk agreed to a transaction at $54.20 per share," Twitter's board told The Times. "We believe this agreement is in the best interest of all shareholders. We intend to close the transaction and enforce the merger agreement.”

Twitter previously said in a press release that it was “committed to completing the transaction on the agreed price and terms as promptly as practicable." Musk reportedly took issue with a possible misrepresentation of the amount of “bot” accounts.

NewsBusters reported that the Tesla CEO alleged that platform filings with the Securities and Exchange Commission regarding spam accounts were potentially inaccurate. He expressed his belief that the actual number of spam accounts could be “much” higher than what Twitter originally claimed.  

"20% fake/spam accounts, while 4 times what Twitter claims, could be *much* higher. My offer was based on Twitter's SEC filings being accurate," Musk tweeted. "Yesterday, Twitter's CEO publicly refused to show proof of <5%. This deal cannot move forward until he does."

The platform previously encouraged shareholders to vote in favor of the deal.

“If the merger is completed, you will be entitled to receive $54.20 in cash, without interest and subject to any applicable withholding taxes, for each share of our common stock that you own (unless you have properly exercised your appraisal rights),” Twitter told shareholders in an SEC filing. 

Conservatives are under attack. Contact your representatives and demand that Big Tech be held to account to mirror the First Amendment while providing equal footing for conservatives. If you have been censored, contact us using CensorTrack’s contact form, and help us hold Big Tech accountable.