Days after announcing that he is taking over the microblogging site Twitter, Elon Musk on Friday announced that his $44 billion acquisition of social media giant has been put on hold.
The Tesla cofounder has revealed that the deal has been put on hold pending an investigation on fake users.
Twitter deal temporarily on hold pending details supporting calculation that spam/fake accounts do indeed represent less than 5% of usershttps://t.co/Y2t0QMuuyn
— Elon Musk (@elonmusk) May 13, 2022
According to a Reuters report, Twitter in its filing had estimated that false or spam accounts represent less than 5% of its monetizable monthly daily active users during Q1 2022.
“Twitter deal temporarily on hold pending details supporting calculation that spam/fake accounts do indeed represent less than 5% of users,” Elon Musk said in a tweet.
Twitter had served over 229 million users with advertisements during the quarter. As per the company, less than 11.45 million of these users were fake.
As per latest reports, Twitter’s share price slumped nearly 20% following Musk’s tweet that the acquisition has been put on hold. At the same time, Tesla’s share price rose by nearly 5%.