Details surrounding Elon Musk’s deal to take Twitter, Inc. private are getting murkier each passing day. A new SEC filing by the social media platform to highlight its version of events suggests Musk jumped the gun in his quest to quickly lap up the company.
What Happened
Musk was apparently in a hurry to get the deal done and suggested on April 21 that his acquisition proposal was “no longer subject to the completion of financing business due diligence,” preliminary proxy statement filed by the social media platform ahead of the special meeting of shareholders said. This may have been due to the fact that Musk had already rallied around financing partners to fund the deal, according to Twitter’s version.Due diligence is a key step in M&A transactions as it de-risks the transaction for the potential buyer and provides the seller with information on the proper valuation of the business.
