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Isn't the deal on hold because the price might be too high for a bunch of spam accounts? If so, I'm not sure what you're on about. Sounds reasonable to confir
by exodust 4y ago
Isn't the deal on hold because the price might be too high for a bunch of spam accounts? If so, I'm not sure what you're on about.
Sounds reasonable to confirm the actual number of spam accounts before spending 44 billion. Likewise I double check the service history of used cars too.
- cinntaile 4y agoDo you think it is reasonable to do your due diligence after you made an offer?
- throwawaylinux 4y agoHow do you know what due diligence was done and what new information might have come up? If the company misrepresented its users to Musk during negotiations that wouldn't be very reasonable.
- deleted 4y ago[deleted]
- cinntaile 4y agoI obviously don't know the details, but knowing the number of actual users on Twitter is probably the most important factor to base an offer on? He's not exactly new on Twitter, so if Twitter claims 5% bots he just accepts that? I find that extremely unlikely, unless he had another motive.
- itsoktocry 4y ago>How do you know what due diligence was done and what new information might have come up? Based on the "Funding secured" or "Pedo guy" nonsense revealed in court documents, I have a pretty good idea how much due diligence was done prior to the offer: zero.
- xienze 4y agoThis would be more akin to the inspection period when buying a house. The threat of the deal blowing up with so much on the line is what holds Twitter’s feet to the fire.
- Ensorceled 4y agoI've been involved in a couple of due diligence processes that were part of the conditions of the formal offer. You don't open your books to a competitor or in a hostile takeover situation.
- johngalt_ 4y agothat's how it works in the bussiness world. you first make an offer, and then it enters the due diligence phase when information is shared and these matters are investigated.
- deleted 4y ago[deleted]
- mupuff1234 4y agoIsn't that something he should've done before making an offer? It's not like he just discovered that bots are a thing.
- zthrowaway 4y agoYou think Twitter would be that open to let someone dig that deep into their IP before a purchase?
- deleted 4y ago[deleted]
- Ensorceled 4y agoIt was pretty much a hostile take over ... quite sure they didn't let him come in and "kick the tires" on their user data.
- hooande 4y agothen...maybe he shouldn't have made the offer?
- Ensorceled 4y agoThis happens all the time. Literally. Sometimes you can kick the tires if you have a letter of intent, sometimes the offer is conditional on passing a due diligence.
- notyourday 4y agoNo, you make closing contingent on certain parameters. Twitter execs aren't going to drop their panties for inspection unless there's a good chance the deal might close.
- fijiaarone 4y agoYes. Like when you make an offer on a house but then your inspector finds a crack in the ceiling and you back out because the bank promised you 3.5% with no points and nothing down but when the paperwork is done you’ve got a 6% interest rate with $10,000 in fees, property tax assessment tripled, your parents who were going to help out suddenly don’t want to gift you $75,000 for the down payment, there was a murder 2 blocks away and the housing market just collapsed so paying 100% over the asking price (which was already twice what it’s worth) doesn’t sound a good idea. In other words, have you seen what tech stocks have done in the last week? Elon doesn’t have the money to buy Twitter, and his lenders are getting nervous that it’s a bad investment for a juvenile prank.