{"id":1582514,"date":"2022-08-01T09:23:34","date_gmt":"2022-08-01T13:23:34","guid":{"rendered":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=1582514"},"modified":"2022-08-01T09:26:55","modified_gmt":"2022-08-01T13:26:55","slug":"is-elon-musk-eyeing-a-discount-on-twitter","status":"publish","type":"post","link":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/is-elon-musk-eyeing-a-discount-on-twitter\/","title":{"rendered":"Is Elon Musk Eyeing a Discount on Twitter?"},"content":{"rendered":"<aside class=\"mashsb-container mashsb-main mashsb-stretched\"><div class=\"mashsb-box\"><div class=\"mashsb-count mash-medium\" style=\"&quot;\"><div class=\"counts mashsbcount\">16<\/div><span class=\"mashsb-sharetext\">SHARES<\/span><\/div><div class=\"mashsb-buttons\"><a class=\"mashicon-facebook mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/www.facebook.com\/sharer.php?u=https%3A%2F%2Fwww.conservativenewsdaily.net%2Fbreaking-news%2Fis-elon-musk-eyeing-a-discount-on-twitter%2F\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Facebook<\/span><\/a><a class=\"mashicon-twitter mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/twitter.com\/intent\/tweet?text=&amp;url=https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=1582514&amp;via=ConservNewsDly\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Twitter<\/span><\/a><a class=\"mashicon-subscribe mash-medium mash-nomargin mashsb-noshadow\" href=\"#\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Subscribe<\/span><\/a><div class=\"onoffswitch2 mash-medium mashsb-noshadow\" style=\"display:none\"><\/div><\/div>\n            <\/div>\n                <div style=\"clear:both\"><\/div><\/aside>\n            <!-- Share buttons by mashshare.net - Version: 4.0.47--><aside class=\"single__inline-module alignleft\">\n<div class=\"inline-module inline-module--columnist inline-module--author\">\n<div class=\"inline-module--author__img\">\n\t\t\t\t\t<\/div>\n<\/div>\n<\/aside>\n<p>While the chattering classes are obsessing over Elon Musk\u2019s love life (I still can\u2019t figure out if <a href=\"https:\/\/nypost.com\/2022\/07\/27\/elon-musk-wants-sergey-brins-wife-to-sue-wsj-over-hit-piece\/\">he did or didn\u2019t have that alleged affair<\/a> or why I should care), the Tesla electric-vehicle king has been busy developing a new and risky strategy to buy Twitter \u2014 but at a significantly lower price, bankers with knowledge of the matter tell The Post.<\/p>\n<p>I know it\u2019s conventional wisdom that<a href=\"https:\/\/nypost.com\/2022\/07\/29\/elon-musk-flips-bird-at-twitter-files-counter-suit-in-legal-battle\/\"> he wants to back out of the deal<\/a>; Twitter, he says, is hiding the football on the number of fake accounts and those annoying bots. But as we\u2019ve reported before, bankers who know him are dubious that he really wants to call it quits.<\/p>\n<p>They say he just wants to pay less after Twitter\u2019s stock price cratered with the rest of the tech sector along with Tesla, which serves as Musk\u2019s deal currency (he owns 175 million shares; you do the math).<\/p>\n<p>Now they say there\u2019s more <a href=\"https:\/\/nypost.com\/2022\/07\/25\/elon-musk-and-the-ultimate-geek-midlife-crisis\/\">method to Musk\u2019s Twitter-deal madness<\/a>, even if <a href=\"https:\/\/nypost.com\/2022\/07\/26\/elon-musk-twitter-in-fresh-squabble-over-october-trial-timing\/\">he\u2019s still rolling the dice<\/a> in ways that could end up disastrous for him.<\/p>\n<p>The game plan the bankers say Musk is employing is a war of attrition \u2014 playing a long game and wearing the enemy down until they capitulate. You essentially kill more of them than they can replace on the battlefield until they surrender.<\/p>\n<p>Musk\u2019s war with Twitter \u00ad<a href=\"https:\/\/nypost.com\/2022\/07\/27\/twitter-willing-to-start-trial-oct-17-but-wants-elon-musk-commitment\/\">involves a battlefield known as the Delaware Chancery Court<\/a>, the go-to venue to settle corporate disputes. A <a href=\"https:\/\/nypost.com\/2022\/07\/29\/elon-musks-trial-over-44b-twitter-deal-gets-start-date\/\">trial is set to begin Oct. 17<\/a> over Twitter\u2019s lawsuit to compel Musk to make good on his $44 billion initial offer to buy the company.<\/p>\n<figure class=\"wp-block-image size-large\"><a href=\"https:\/\/nypost.com\/wp-content\/uploads\/sites\/2\/2022\/07\/GettyImages-1240649087-1.jpg\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"633\" src=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-content\/uploads\/2022\/08\/GettyImages-1240649087-1.jpg\" alt=\"They will battle it out in Delaware&#039;s Court of Chancery.\" class=\"wp-image-23272439\" srcset=\"https:\/\/nypost.com\/wp-content\/uploads\/sites\/2\/2022\/07\/GettyImages-1240649087-1.jpg?quality=75&#038;strip=all&#038;w=2048 2048w, https:\/\/nypost.com\/wp-content\/uploads\/sites\/2\/2022\/07\/GettyImages-1240649087-1.jpg?quality=75&#038;strip=all&#038;w=1535 1536w, https:\/\/nypost.com\/wp-content\/uploads\/sites\/2\/2022\/07\/GettyImages-1240649087-1.jpg?quality=75&#038;strip=all 1024w, https:\/\/nypost.com\/wp-content\/uploads\/sites\/2\/2022\/07\/GettyImages-1240649087-1.jpg?quality=75&#038;strip=all&#038;w=512 512w\" \/><\/a><figcaption>Musk and Twitter are set to go to court on Oct. 17, 2022. <\/figcaption><figcaption><span class=\"credit\">AFP via Getty Images<\/span><\/figcaption><\/figure>\n<p>These bankers say Musk knows the <a href=\"https:\/\/nypost.com\/2022\/07\/21\/inside-the-shadowy-delaware-court-set-to-decide-musk-v-twitter\/\">Chancery judges don\u2019t look kindly on rich business types<\/a> who sign documents saying one thing but then try to change terms when their \u2014financial circumstances suddenly change.<\/p>\n<aside class=\"single__inline-module alignright\">\n\t<\/aside>\n<p>Musk, you may recall, signed away due diligence when he began snapping up shares of Twitter and then made his \u201c<a href=\"https:\/\/nypost.com\/2022\/06\/11\/elon-musks-best-twitter-offer-looks-bogus\/\">best and final offer<\/a>\u201d to buy the company.<\/p>\n<p>He couldn\u2019t have been surprised by the fakes, in my humble opinion, because he knew there were issues. In fact, he said <a href=\"https:\/\/nypost.com\/2022\/07\/22\/elon-musk-reacts-to-twitter-blame-for-lackluster-quarterly-results\/\">he had plans to get rid of them<\/a> and turn the ubiquitous social-media site into something like a successful business. (For all its influence, Twitter barely makes any money.)<\/p>\n<p>The Chancery judges have seen all sorts of BS\u2019ers over the years, and they\u2019re likely to throw Musk and his excuses in the same \u00adcategory.<\/p>\n<p>A court order could force him to pay the entire $44 billion ($54.20 a share as opposed to Twitter\u2019s current share price of $41.61), which even for someone as rich ($260 billion) as Musk is a pretty big chunk of change.<\/p>\n<figure class=\"wp-block-image size-large\"><a href=\"https:\/\/nypost.com\/wp-content\/uploads\/sites\/2\/2022\/07\/GettyImages-1270402636.jpg\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"683\" src=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-content\/uploads\/2022\/08\/GettyImages-1270402636.jpg\" alt=\"The court is known to favor those that the judges are acquainted to.\" class=\"wp-image-23272440\" srcset=\"https:\/\/nypost.com\/wp-content\/uploads\/sites\/2\/2022\/07\/GettyImages-1270402636.jpg?quality=75&#038;strip=all&#038;w=2048 2048w, https:\/\/nypost.com\/wp-content\/uploads\/sites\/2\/2022\/07\/GettyImages-1270402636.jpg?quality=75&#038;strip=all&#038;w=1536 1536w, https:\/\/nypost.com\/wp-content\/uploads\/sites\/2\/2022\/07\/GettyImages-1270402636.jpg?quality=75&#038;strip=all 1024w, https:\/\/nypost.com\/wp-content\/uploads\/sites\/2\/2022\/07\/GettyImages-1270402636.jpg?quality=75&#038;strip=all&#038;w=512 512w\" \/><\/a><figcaption>Musk will face Twitter in the Delaware Court of Chancery.  <\/figcaption><figcaption><span class=\"credit\">Getty Images<\/span><\/figcaption><\/figure>\n<p>The bankers say Musk is prepared for that. He\u2019s also prepared to appeal to the Delaware Supreme Court \u2014 and that\u2019s where his war of attrition begins. He figures the appeal will take around eight months or maybe a year, but with the overhang of uncertainty, Twitter\u2019s business will continue to crater. Advertisers are already bolting amid Musk\u2019s comments about the <a href=\"https:\/\/nypost.com\/2022\/05\/16\/elon-musk-says-twitter-claims-bot-check-broke-nda\/\">bot issues<\/a> and the <a href=\"https:\/\/nypost.com\/2022\/07\/29\/key-us-inflation-gauge-reaches-6-8-as-prices-keep-surging\/\">looming recession<\/a>.<\/p>\n<aside class=\"single__inline-module alignleft\">\n\t<\/aside>\n<p>Money will be tight, and there are just so many rounds of layoffs any high-tech company can execute to make the numbers work before they start eating into their infrastructure.<br \/>Musk believes Twitter will be pressured by shareholders to \u00adcapitulate to a significantly lower price as shares slide into the $30s and below, these people say. An attorney for Musk declined to comment.<\/p>\n<p>Will this work? Charles Elson, the founding director of the Weinberg Center for Corporate Governance at the University of Delaware and a Chancery Court expert, thinks so.<br \/>The \u201cappeals process could take months \u2014 possibly six to eight, so it would make sense Musk might take advantage of that time in limbo to negotiate a better deal,\u201d he told Fox Business\u2019s Eleanor Terrett.<\/p>\n<p>His prediction: Musk shaves about 5% off the price and Twitter agrees to a new deal. Or maybe Twitter wins on appeal, forcing Musk to cough up the full $44 billion. As <a href=\"https:\/\/nypost.com\/2022\/07\/05\/why-teslas-stock-is-falling-after-latest-production-report\/\">Tesla\u2019s stock continues to fall<\/a> amid recession fears, Musk would be owning two declining assets.<\/p>\n<p>Memo to Elon: Wars of attrition are risky.<\/p>\n<h2>Pelosis take a lo$$<\/h2>\n<p>Looks like Paul Pelosi finally lost money <a href=\"https:\/\/nypost.com\/2022\/07\/16\/paul-pelosi-buys-tech-chip-stocks-before-big-subsidy-vote\/\">indulging in his fav\u00adorite pastime: trading stocks<\/a>. Maybe that\u2019s why his wife, Nancy, the powerful speaker of the House of Representatives, finally supports new legislation that would ban lawmakers and their spouses from trading stocks using their obvious information edge.<\/p>\n<figure class=\"wp-block-image size-large\"><a href=\"https:\/\/nypost.com\/wp-content\/uploads\/sites\/2\/2022\/07\/GettyImages-1076911722-1.jpg\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"683\" src=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-content\/uploads\/2022\/08\/GettyImages-1076911722-1.jpg\" alt=\"Paul and Nancy Pelosi&#039;s stock portfolio continues to grow.\" class=\"wp-image-23272442\" srcset=\"https:\/\/nypost.com\/wp-content\/uploads\/sites\/2\/2022\/07\/GettyImages-1076911722-1.jpg?quality=75&#038;strip=all&#038;w=2048 2048w, https:\/\/nypost.com\/wp-content\/uploads\/sites\/2\/2022\/07\/GettyImages-1076911722-1.jpg?quality=75&#038;strip=all&#038;w=1536 1536w, https:\/\/nypost.com\/wp-content\/uploads\/sites\/2\/2022\/07\/GettyImages-1076911722-1.jpg?quality=75&#038;strip=all 1024w, https:\/\/nypost.com\/wp-content\/uploads\/sites\/2\/2022\/07\/GettyImages-1076911722-1.jpg?quality=75&#038;strip=all&#038;w=512 512w\" \/><\/a><figcaption>Paul Pelosi finally took a loss on a tech trade. <\/figcaption><figcaption><span class=\"credit\">Getty Images<\/span><\/figcaption><\/figure>\n<p>As <a href=\"https:\/\/nypost.com\/2022\/07\/23\/nancy-and-paul-pelosi-are-trading-large-with-a-wealth-of-hypocrisy\/\">we reported in last week\u2019s column<\/a>, Big Paul has been killing it in the markets in recent years with fishy trades that seemed timed to benefit from legislation with his wife\u2019s obvious involvement. He\u2019s amassed quite a fortune for him and Nancy based on his investment skills. They are worth more than $100 million, and the House speaker is one of the wealthiest people in Congress.<\/p>\n<p>Last week, Paul <a href=\"https:\/\/nypost.com\/2022\/07\/27\/pelosis-sold-5m-in-nvidia-stock-ahead-of-chipmaker-subsidy-vote\/\">finally took a loss on a tech trade<\/a> for reasons that made no financial sense since shares of the stock will likely keep rising with the new legislation \u2014 being pushed by his wife, of course \u2014 giving chipmakers billions of dollars in corporate welfare.<\/p>\n<p>Given all the bad publicity surrounding his trade, Paul might have been shamed into selling at a loss. Likewise, Nancy might have been shamed into supporting a bill that would end this ethically fraught gravy train they feasted on for years.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>While the chattering classes are obsessing over Elon Musk\u2019s love life (I still can\u2019t figure out if he did or didn\u2019t have that alleged<\/p>\n","protected":false},"author":1,"featured_media":1888689,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","fifu_image_url":"https:\/\/cndimages.nyc3.digitaloceanspaces.com\/breaking-news\/wp-content\/uploads\/2021\/01\/IMG_2758-scaled-1.jpg","fifu_image_alt":"","footnotes":""},"categories":[],"tags":[],"class_list":["post-1582514","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry"],"fifu_image_url":"https:\/\/cndimages.nyc3.digitaloceanspaces.com\/breaking-news\/wp-content\/uploads\/2021\/01\/IMG_2758-scaled-1.jpg","_links":{"self":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1582514","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/comments?post=1582514"}],"version-history":[{"count":0,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1582514\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media\/1888689"}],"wp:attachment":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media?parent=1582514"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/categories?post=1582514"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/tags?post=1582514"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}