Twitter investor sues Musk for manipulating company’s share price

An investor in Twitter sued entrepreneur Ilon Musk, accusing him of manipulating the share price of the social network. This was reported by Bloomberg agency on Tuesday.

Giuseppe Pampena is convinced that Musk, by agreeing in early October to renew his acquisition of Twitter, “essentially admitted he was bluffing all along” by claiming to pull out of the deal.

” Musk’s “fraudulent and illegal actions” collapsed the social network’s stock, hurting the company’s investors while improving the American billionaire’s bargaining position, according to a lawsuit filed in federal court in San Francisco.

In April, Twitter’s management announced that Musk had offered to buy the social network for $44 billion. In early July, Musk’s lawyers notified the company that he refused to buy because he had not received evidence that the fake accounts accounted for less than 5% of the total number of accounts in the social network.

After that, Musk “continued to make statements, publish tweets, and provoke suspicion around the deal, significantly lowering Twitter’s stock price to create leverage with which to either exit the deal or renegotiate the price by 25%, which is $11 billion less,” the agency cites an excerpt from the lawsuit.

On Oct. 4, Bloomberg reported that Musk had decided to reopen the deal and acquire Twitter at the original price. On the same day, a representative of the social network confirmed receipt of a corresponding offer letter from Musk.