Twitter Shareholders Sue Elon Musk For Manipulating Stock Price
TECHDIGEST – The shareholders of Twitter have sued billionaire Elon Musk for manipulating the price of the company’s shares downward through his comments after the $44 billion deal agreement. The shareholders in the lawsuit accused Musk of deliberately passing negative comments about Twitter to drag down its price on the stock market.
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The suit was filed Wednesday in federal district court for Northern California and argued that Musk intentionally drove down the company’s stock to secure a better deal.
According to them, the billionaire’s tricks worked as Twitter has lost $8 billion in valuation since the Buyout was announced. They added that Musk was aware of the bots problem and other issues Twitter was facing before agreeing to the $44 billion deal.
Musk had last week put the acquisition deal on hold pending the determination of the actual number of bots on Twitter, which the company put at less than 5%.
Source : Nairametric
