Elon Musk’s $44 billion Twitter deal is facing a lawsuit looking to postpone the deal.
The lawsuit claims that Musk already had agreements with Morgan Stanley & Twitter founder Jack Dorsey prior to making his offer, who owns about 8.8% & 2.4% of the company, respectively.
The Florida pension fund is calling for a delay of the merger by three years, arguing that Musk then effectively “owned” more than a 15% stake in Twitter.
Why this matters
Well, Musk had hoped to close this deal in the second half of this year.
In related news
According to the New York Times, Musk aims to increase Twitter’s annual revenue to $26.4 billion by 2028, compared to $5 billion last year. Musk reportedly plans to decrease advertisements revenue’s contribution to total revenue from 90% to 45%, & increase subscription revenue.