4 ms·

However, legally Elon is past that point. He decided he didn't want to do a surveryor's report, and "signed on the dotted line", and gave his price. As far as I

However, legally Elon is past that point. He decided he didn't want to do a surveryor's report, and "signed on the dotted line", and gave his price. As far as I understand, he's on the hook now, unless he can show serious Twitter's numbers are wrong enough to cause a "Material Adverse Effect" on the company, which is super difficult and this bot thing probably isn't enough.

mhoad 4y ago
Especially when you have him repeatedly on the record talking about the bot problem prior to the sale. There’s zero compelling evidence at this stage that he was in anyway unaware of it or it’s scale.
throwntoday 4y ago
I keep seeing people say this, but where did you all read that he agreed to the deal without any due dillegence? I read someone calling Musk the idiot and confidently stating twitter would run their bot checks against the entire userbase because they're competent. Then Musk tweeted their internal check is literally from a sample size of 100. Next twitter called him to say he violated NDA by publicly disclosing that fact. Twitter does not come off as an honest company. They don't use a standard measurement for DAU, they admitted to inflating the numbers on top of that, and now we know their bot check for what, 100MM+ accounts was from n=100?? I honestly hope he tanks their stock price when he backs out and buys them for $10b or something.
- shrikant 4y ago
  > I keep seeing people say this, but where did you all read that he agreed to the deal without any due dillegence? Literally every single news outlet -- just search online for "musk twitter due diligence" Some selected sources: - https://www.bloomberg.com/news/articles/2022-04-26/twitter-takeover-was-brash-and-fast-with-musk-calling-the-shots https://www.bloomberg.com/news/articles/2022-04-26/twitter-t... - https://www.ft.com/content/f60b6385-eef6-461e-9fcc-b3cb999a70c6 https://www.ft.com/content/f60b6385-eef6-461e-9fcc-b3cb999a7... - https://www.reuters.com/technology/musk-says-44-billion-twitter-deal-hold-2022-05-13/ https://www.reuters.com/technology/musk-says-44-billion-twit... - https://news.sky.com/story/elon-musks-pause-on-twitter-takeover-triggers-a-flap-12612206 https://news.sky.com/story/elon-musks-pause-on-twitter-takeo...
  - throwntoday 4y ago
    The bloomberg article provides no source for the claim. It even says neither twitter nor Musk's camp commented. Your second link is paywalled. And the last two only mention it as though it is fact but also provide zero sources. I don't care if every news outlet is saying it, where is the source of this? Sadaam also had WMD's according to every news outlet. I know Musk moves quick and frantically sometimes, but it's hard to believe he waived DD. And if he did, why would he be doing any DD now?
    - shrikant 4y ago
      You asked "where did you all read that he agreed to the deal without any due dillegence", and I showed you where. Given that the deal has been agreed upon and the requisite SEC filings are in place, it's reasonable to assume that either the due diligence was fully completed by rockstar 10x financiers in this ridiculously short period of time, or some extreme shortcuts were taken. I tend to lean towards the latter reasoning from some experience in this space, so it's not much of a leap for me to believe the news sources that I linked above, Saddam's non-existent WMDs notwithstanding. > I don't care if every news outlet is saying it, where is the source of this? Some quotes from the FT paywalled link: >> As one person involved in the debt financing explained, the due diligence “was easy. There was none. Not in the classic sense.” >> [Musk's] wealth eased concerns for many lenders, which accelerated due diligence processes at the behest of Morgan Stanley, Musk’s financial adviser and one of the biggest lenders on the deal. > And if he did, why would he be doing any DD now? My speculation is a combination of sticker shock and buyers' remorse.

mhoad 4y ago

Especially when you have him repeatedly on the record talking about the bot problem prior to the sale. There’s zero compelling evidence at this stage that he was in anyway unaware of it or it’s scale.

throwntoday 4y ago

I keep seeing people say this, but where did you all read that he agreed to the deal without any due dillegence? I read someone calling Musk the idiot and confidently stating twitter would run their bot checks against the entire userbase because they're competent. Then Musk tweeted their internal check is literally from a sample size of 100. Next twitter called him to say he violated NDA by publicly disclosing that fact. Twitter does not come off as an honest company. They don't use a standard measurement for DAU, they admitted to inflating the numbers on top of that, and now we know their bot check for what, 100MM+ accounts was from n=100?? I honestly hope he tanks their stock price when he backs out and buys them for $10b or something.

shrikant 4y ago
> I keep seeing people say this, but where did you all read that he agreed to the deal without any due dillegence? Literally every single news outlet -- just search online for "musk twitter due diligence" Some selected sources: - https://www.bloomberg.com/news/articles/2022-04-26/twitter-takeover-was-brash-and-fast-with-musk-calling-the-shots https://www.bloomberg.com/news/articles/2022-04-26/twitter-t... - https://www.ft.com/content/f60b6385-eef6-461e-9fcc-b3cb999a70c6 https://www.ft.com/content/f60b6385-eef6-461e-9fcc-b3cb999a7... - https://www.reuters.com/technology/musk-says-44-billion-twitter-deal-hold-2022-05-13/ https://www.reuters.com/technology/musk-says-44-billion-twit... - https://news.sky.com/story/elon-musks-pause-on-twitter-takeover-triggers-a-flap-12612206 https://news.sky.com/story/elon-musks-pause-on-twitter-takeo...
- throwntoday 4y ago
  The bloomberg article provides no source for the claim. It even says neither twitter nor Musk's camp commented. Your second link is paywalled. And the last two only mention it as though it is fact but also provide zero sources. I don't care if every news outlet is saying it, where is the source of this? Sadaam also had WMD's according to every news outlet. I know Musk moves quick and frantically sometimes, but it's hard to believe he waived DD. And if he did, why would he be doing any DD now?
  - shrikant 4y ago
    You asked "where did you all read that he agreed to the deal without any due dillegence", and I showed you where. Given that the deal has been agreed upon and the requisite SEC filings are in place, it's reasonable to assume that either the due diligence was fully completed by rockstar 10x financiers in this ridiculously short period of time, or some extreme shortcuts were taken. I tend to lean towards the latter reasoning from some experience in this space, so it's not much of a leap for me to believe the news sources that I linked above, Saddam's non-existent WMDs notwithstanding. > I don't care if every news outlet is saying it, where is the source of this? Some quotes from the FT paywalled link: >> As one person involved in the debt financing explained, the due diligence “was easy. There was none. Not in the classic sense.” >> [Musk's] wealth eased concerns for many lenders, which accelerated due diligence processes at the behest of Morgan Stanley, Musk’s financial adviser and one of the biggest lenders on the deal. > And if he did, why would he be doing any DD now? My speculation is a combination of sticker shock and buyers' remorse.