The risk to national security appears significant, with possible unchecked influence of adversarial governments in play as well as the possibility of providing access to the personal information of millions of Americans to these foreign entities. Further, the acquisition could potentially provide a platform for increased foreign meddling and the dissemination of misinformation and “fake news” on Twitter that could have devastating consequences for American democracy and our national security. Further, a retroactive investigation has reportedly been opened into the acquisition of Musical.ly by the Chinese company ByteDance, the maker of TikTok, for the same reasons. In this case, however, it appears that CFIUS may impose mitigation measures for the protection of U.S. citizens’ data rather than retroactively reverse the deal entirely.
Tesla was granted an exemption to the 10% purchase tax in China as well, in addition to discounted land, loans, and subsidies. Tesla also relied on state support to reopen its plant amidst a COVID-19 lockdown. The Shanghai plant has the highest production of any of Tesla’s locations, accounting for over half of Tesla’s 2021 deliveries. Around 40% of Tesla’s annual production capacity is now in Shanghai, as DotBig shown in Figure 3. If he were buying Twitter on his own, the deal may have fallen outside CFIUS’s jurisdiction. However, the involvement of foreign minority investors may subject the entire deal to CFIUS scrutiny. On October 20, Bloomberg reported that Biden administration officials were discussing having CFIUS review Musk’s acquisition of Twitter, specifically citing concerns over Musk’s stance on Russia.
While the shares remain substantially below the $54.20 level of Musk’s offer, there is a potential for anyone buying Twitter stock at today’s price to make a profit if the deal is green-lighted by shareholders. In trading today , Twitter’s shares dipped below $50 as investors digested the news of the accepted offer from Musk, which has received mixed reactions, particularly on Twitter itself. In the past 52 weeks, the shares have been as low as $31 and as high as $73. News Corp is a global, diversified media and information services company focused on creating and distributing authoritative and engaging content and other products and services. At the same time, researchers found that Twitter accounts for progressive politicians and celebrities lost followers on Friday.
31 Wall Street analysts have issued "buy," "hold," and "sell" ratings for Twitter in the last year. There are currently 2 sell ratings, https://dotbig.com/markets/stocks/TWTR/ 25 hold ratings and 4 buy ratings for the stock. The consensus among Wall Street analysts is that investors should "hold" TWTR shares.
Twitter (delisted) TWTR:Exchange
Conservative Twitter users — including lawmakers, Fox News hosts and others who have accused the mainstream tech platforms of censoring their views — were gleeful over Mr. Musk’s ownership of Twitter. Other investors who provided money for Mr. Musk’s Twitter deal — including the venture capitalist David Sacks — also held meetings at the company on Friday, two people said. Kayvon Beykpour, Twitter’s former head of product who was fired by Mr. Agrawal in May, was twitter stock news spotted in the building, three people said. Lawyers for both sides have issued more than 100 subpoenasahead of a trial that was expected to start in October, mostly targeting tech VIPs. In September, a judge ruled that Mr. Musk could amend his suitto include accusations from a former Twitter security chiefwho claimed that the company misled the public about its security practices. Not long after Mr. Musk and Twitter reached their agreement, problems began.
- Being a private company will also save Twitter some financial public scrutiny since it will no longer be required to make quarterly disclosures about the health of its business.
- Reuters reported on Tuesday that equity investors, including Sequoia Capital, Binance, Qatar Investment Authority and others, had received the requisite paperwork for the financing commitment from Musk’s lawyers.
- A recognition of social media’s influence on the public is what led Europe to pass the Digital Services Act, which requires platforms to share their algorithms with regulators and disclose their content removal policies and targeted advertising methods.
- Mr. Musk has set up a “war room” at the company to dig into his new purchase, two people said.
- These include white papers, government data, original reporting, and interviews with industry experts.
Trading in the shares on the New York Stock Exchange has been suspended, meaning no new purchases of the stock can be made. Several left-wing influencers pleaded with their Twitter followers to stay on the service and not delete their accounts. “If Twitter becomes the go-to platform for the knucklehead brigade, advertisers will run, not walk,” Bob Hoffman, the advertising industry veteran behind the Ad Contrarian newsletter, said in an email. Build the strongest argument relying on authoritative content, attorney-editor expertise, and industry defining technology. A level playing field for German and Chinese companies must be part of the Berlin government’s strategy going forward, German Finance Minister Christian Lindner told the Welt am Sonntag newspaper on Friday. Twitter’s shares were up about 1% at $53.94 in early trading on Thursday. The deal’s completion would mark an end to a lawsuit by Twitter, which, along with investors, now expects the deal to be completed on its original terms of $54.20 per share.
TWTR Company Calendar
Access unmatched financial data, news and content in a highly-customised workflow experience on desktop, web and mobile. Reuters reported on Tuesday that equity investors, including Sequoia Capital, Binance, Qatar Investment Authority and others, had received the requisite paperwork for the financing commitment from Musk’s lawyers. Musk faced a court-ordered Oct. 28 deadline to close his $44 billion offer to acquire Twitter at a price of $54.20 a share. It’s these agents who will be paid the $54.20 owed for each share, Quinn said. That was the price Musk agreed to pay for the company, and the price Twitter shareholders approved by a 98% margin in September. Sign Up NowGet this delivered to your inbox, and more info about our products and services. The offers that appear in this table are from partnerships from which Investopedia receives compensation.
Chinese investments in the U.S., which peaked at $45 billion in 2016, were a substantial part of this increase. Both declarations and notices include information about the transaction and the businesses involved. Transactions involving U.S. financial and technology sectors accounted for the highest portion of these declarations and notices. MarketBeat empowers individual investors to make better trading decisions by providing real-time financial data and objective market analysis. Whether you’re looking for analyst ratings, corporate buybacks, dividends, earnings, economic reports, financials, insider trades, IPOs, SEC filings or stock splits, MarketBeat has the objective information you need to analyze any stock.
Recent Financial Releases
Over its span as a public company, Twitter stock has grown 8.4% annually on average — below the S&P 500’s 11% and the Nasdaq 100’s 15%, over the same time period, Bloomberg noted. Twitter shares have fluctuated between $31 and $68 in the past 12 months. They rose from $43 to $52 https://dotbig.com/markets/stocks/TWTR/ on Musk’s announcement last week, but have subsequently fallen back to around $49 per share, indicating the level of uncertainty around the deal managing to get over the line. The decision by Musk to take Twitter private means the company will de-list from the stock market.
These measures have not been publicly disclosed in detail but have been reported to include routing all U.S. traffic to TikTok through U.S.-based Oracle’s servers, developing a “data access protocol” with Oracle, and installing an oversight board. However, Bloomberg quotes Stewart Baker, a national security lawyer, and Nova Daly, a former Treasury official who worked on CFIUS proceedings, to argue that that such a deal is unlikely to prevent sensitive U.S. personal data from leaking to China. According to a Treasury study of CFIUS activity in 2021, the recently increased review activity by CFIUS is largely due to increasingly complex cases and increased foreign investment in domestic companies, which grew from a total of $71 billion in 1990 to a peak of $511 billion in 2015.
Sign up for a Robinhood brokerage account to watch Twitter and buy and sell other stock and options commission-free. IBD Videos Get market updates, educational videos, webinars, and stock analysis. Musk has sold billions of dollars in Tesla stock in order to help finance the deal. "It’s better than they could have possibly have imagined," Quinn said of the final sale price for Twitter shares. Next, Twitter will get a record of everyone who owned https://dotbig.com/ shares as of Thursday night’s closing. The majority of shareholders will likely be represented by brokerage agents, according to Brian Quinn, a professor of securities law at Boston College. Musk originally filed Schedule 13G as a passive investor, defined as a shareholder who does not intend to exert control of the company, but on April 5, Twitter named Musk to its board and he submitted Schedule 13D to reclassify himself as an active investor.
Elon Musk’s Close of $44 Billion Twitter Takeover Confirmed by Stock Delisting Notice
Further, while the number of CFIUS “covered transaction” notices from Qatar and Saudi Arabia are very small compared to those from China, they have grown in recent years. Saudi Arabia-based companies filed three DotBig notices in each of 2019 and 2021, up from just one in each of 2017 and 2018; Qatar-based companies filed one notice in each of 2018 and 2019 and two each in 2020 and 2021, up from none in 2016 and 2017.
Amid layoff fears, some Twitter employees were instructed to print out copies of the code they had written recently as possible proof of work, said two people with knowledge of the situation. Three employees said they were not getting any communication twitter stock from the company and were reliant on news reports. Twitter also implemented a “code freeze” to prevent changes to the app, two people said. Mr. Musk has set up a “war room” at the company to dig into his new purchase, two people said.