Merger activity remained steady last week with three new deals announced and nine deals completed.
The Final Stretch in the Twitter (TWTR) and Elon Musk Saga
Negotiations and litigation between Elon Musk and Twitter have been going on for months, starting before the deal was officially announced in April this year. On October 4, 2022, Elon Musk stated in a court filing that he was working to finance a deal to complete the acquisition of Twitter on the original agreed terms and asked to delay the trial that was scheduled to start on October 17, 2022. This news caused Twitter’s stock to jump over 20% on Oct 4. Twitter opposed the motion but the judge granted a stay of the trial and gave both the parties time until October 28 to complete the deal.
The biggest issue now is Mr. Musk’s ability to raise the debt needed for the deal. I think the deal is in the final stretch and added to my position last week.
I wrote the following last week, in an article on Seeking Alpha article, titled ‘The Twitter Fiasco And The Case For Increased Activism‘