A California jury found Elon Musk liable for misleading investors regarding his 2022 acquisition of Twitter, now known as X. Investors alleged Musk deliberately drove down the company’s stock price to renegotiate or back out of the $44 billion takeover deal. The trial centered on claims that Musk made false statements about the number of bot accounts on the platform.
Jurors determined that two tweets posted by Musk in May 2022 contained false statements, contributing to a significant drop in Twitter’s share price. While the jury did not find Musk engaged in a scheme to defraud investors, they held him responsible for misleading them.
Damages could reach as much as $2.6 billion, though Musk’s legal team intends to appeal the decision. He ultimately completed the acquisition of Twitter after the company pursued legal action to enforce the original agreement.
The verdict concludes a closely watched civil trial and could result in substantial financial repercussions for the billionaire, despite not being a complete loss.