Elon Musk sued by Twitter investors over takeover offer

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Elon Musk sued by Twitter investors over takeover offer
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Twitter shareholders are suing Elon Musk, accusing him of acting illegally in the way he has handled his takeover bid

Tesla shares spiked after Musk announced his 9% stake in Twitter and later made his initial offer to buy the company - but subsequently fell as his comments sowed doubt about whether the deal would go through.The lawsuit also alleges he did not disclose his 9% stake in the company within the timeframe required by the Securities and Exchange Commission.

Twitter investors claim he saved more than $156m by failing to disclose his stake on time, since an earlier disclosure could have pushed up share prices. "By delaying his disclosure of his stake in Twitter, Musk engaged in market manipulation and bought Twitter stock at an artificially low price," the lawsuit says.

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