Elon Musk Attempts To Lower $44B Twitter Price Tag, Shareholders Sue Him In Response

BYHayley Hynes12.6K Views
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Elon Musk
It remains unclear whether Musk will still acquire Twitter at this time.

Just when we thought that Elon Musk would have bragging rights as the proud new owner of Twitter, the tables have completely turned, and now the South African is being sued by the website's shareholders, according to Deadline.

A class-action lawsuit has reportedly been filed against Musk, which accuses him of "unjust enrichment, false statements, and stock manipulation in an attempt to reduce or not pay the $44 billion" which they had previously settled on.

Elon Musk Attempts To Lower $44B Twitter Price Tag, Shareholders Sue Him In Response
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While getting the funds together, the Tesla Motors CEO secured a bank loan after promising billions of dollars in Tesla stock, but in the month after his acquisition was announced the company's stock took a dive.

The lawsuit alleges that, at the same time, Musk began "[making] false statements and [engaging] in market manipulation of Twitter stock, publicly declaring that the agreement had been put "on hold." 


Elsewhere, it's noted that the engineer failed to reveal his 9.2 percent stake in Twitter when obligated to do so, prompting an SEC investigation. "Musk first agreed to join the Twitter board as an ally, then reversed that decision in favour of a takeover bid and threatened to go hostile if Twitter wouldn’t accept," Deadline's report claims.

Shareholders have yet to authorize Musk's purchase – this will take place at a special meeting that hasn't been set.

As he navigates the dire straits he's gotten himself into with Twitter, the 50-year-old has been making more positive headlines thanks to The Kid Laroi, who revealed some financial advice he got from Mr. Musk at a Saturday Night Live afterparty – read more about that here, and let us know if you think that Elon will still make his big purchase in the comment section below. 

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About The Author
Hayley Hynes is the former Weekend Managing Editor of HotNewHipHop, she stepped down after two years in 2024 to pursue other creative opportunities but remains on staff part-time to cover music, gossip, and pop culture news. Currently, she contributes similar content on Blavity and 21Ninety, as well as on her personal blog where she also offers tarot/astrology services. Hayley resides on the western side of Canada, previously spending a year in Vancouver to study Fashion Marketing at Blanche Macdonald Centre and Journalism at Mount Royal University in Calgary before that. She's passionate about helping others heal through storytelling, and shares much more about her life on Instagram @hayleyhynes.
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