QUOTES-Musk puts Twitter deal on hold

LONDON : Elon Musk on Friday put his $44-billion deal for Twitter Inc temporarily on hold, sending the social media company's shares some 20 per cent lower in pre-market trading and on the Frankfurt stock exchange.DANIEL MORGAN, PORTFOLIO MANAGER, SYNOVUS TRUST, ATLANTA

"Maybe he thinks he can get it at a lower price. The stock is drifting lower. Why all of a sudden has this popped up on the radar screen when he's known about it for a long time.""It's a conundrum because when you step back and look at the stock action of Twitter since it received the initial offer from Musk, it never priced in more than a 30-40 per cent chance of this actually getting completed.

"Elon Musk, who has secured financing for the tender offer he's already made, will likely be legally bound to either complete this or pay the breakup fee, which is no small thing." "Investors just don't know quite what this man is going to do next. He's a total maverick. Which makes him either incredibly fantastic or a total liability, depending on which way you look.""Musk’s Twitter takeover was always destined to be a bumpy ride, and now it risks hitting the skids over the number of fake accounts on the platform.

"It keeps the pressure on the tech sector though, but my feeling is that there's limited read-across impact to be expected. Of course, it doesn't contribute to boost optimism for the sector.""Obviously, the markets are reacting as if he is going to pull out of the deal, otherwise why are Twitter shares down 20 per cent. So maybe he's paving the ground for pulling out of the deal.

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Musk puts on hold $44-billion deal for Twitter, shares slumpShares of the social media company fell 17.7% to $37.10 in premarket trading, their lowest level since Musk disclosed his stake in the company in early April and subsequently made a 'best and final' offer to take it private for $54.20 per share. The implied probability of the deal closing at the agreed price fell below 50% for the first time on Tuesday, when Twitter shares dropped below $46.75. Twitter had earlier this month estimated that false or spam accounts represented fewer than 5% of its monetizable daily active users during the first quarter, when it recorded 229 million users who were served advertising.
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