As the market realizes things like Twitter never lied to Elon Musk, Musk waived his rights to due diligence, and courts rarely let people out of contracts with a really good reason, Twitter's price per share has picked up. The $1B breakup fee is perhaps the least of Musk's worries.
Twitter stock has emerged from the depths, rallying 6% after it sued Elon Musk for bailing on his $44 billion deal to buy the company.
The lawsuit filed yesterday in Delaware Chancery Court, beyond being a fun read, shows the company is going in "with an iron fist and a clear upper hand," Wedbush Securities big tech analyst Daniel Ives tells Deadline. He's been following the Twitter-Musk saga closely and anticipates a Game of Thrones-like battle but one that could well go Twitter's way. The rising stock price reflects Wall Street starting to build in punitive damages or a settlement well north of the $1 billion breakup fee, or possibly the original sale. The latter, however, might test the court's enforcement power.
