Twitter: Heads I Win, Tails I Win
Social media platform Twitter (NYSE: TWTR) has been in the news lately amid a percolating drama between itself and billionaire and potential soon-to-be-owner Elon Musk. The two sides agreed on a buyout worth approximately $44 billion, but Musk has begun to pump the brakes over concerns of spam and "bot" accounts on the platform.
Investors are somewhat caught in the middle of this, unsure whether the deal will proceed at the agreed-on price of $54.20. Should you stay, or should you go? It turns out that shareholders might be looking at a "heads I win, tails I win" scenario. Here's what you need to know.
Shares of Twitter currently trade at roughly $37 per share; this is nearly 32% less than the $54.20 Musk agreed to pay for Twitter on a per-share basis. The stock was trading in the mid-to-high $40s before the buyout rumors, so the market could be saying through this price action: "We don't think the deal will happen."
Source Fool.com
