Musk Proposes to Buy Twitter for Original Price of $54.20 a Share

Emjay

Emjay

Honorary Master
Joined
Jun 18, 2005
Messages
15,016
quovadis said:
For it to make sense it requires the actual context not just feelings. With specificity to the discussion around Twitter's viability and sustainability go have a look at Twitter's financial statements and disclosure filings with the SEC including the independent audit opinions. Either Emjay is a genius or knows better than Musk, a couple of the big 5 audit firms, at least 7 banks and a ton of private equity firms.
Click to expand...

You seem just a little bit upset. Did I touch you on your studio?

Once again missing the forest for the trees. The fact that Musk has laid off 50% of the workforce speaks to how unsustainable the business is.

But, please keep digging that hole.
 
Pegasus

Pegasus

Honorary Master
Joined
May 17, 2004
Messages
13,976
Emjay said:
Then what is stopping you from doing just this?

On a serious note, most people don't have money to throw after risky investments like this. I don't think it is a sustainable way of investing because the risk is too high. For those who have the capital? Sure - I can see it paying it off big if they hit the lottery. Again, most businesses don't operate in a tech bubble.
Click to expand...

It's a growth strategy. One which you don't want to grasp for whatever reason.

The 2 richest men in the world used it.
 
Emjay

Emjay

Honorary Master
Joined
Jun 18, 2005
Messages
15,016
Pegasus said:
It's a growth strategy. One which you don't want to grasp for whatever reason.

The 2 richest men in the world used it.
Click to expand...

Amazon and Twitter are not the same.

And you now arguing for the sake of arguing.
 
Pegasus

Pegasus

Honorary Master
Joined
May 17, 2004
Messages
13,976
Emjay said:
Amazon and Twitter are not the same.
Click to expand...

Did they not both use a growth strategy?

www.livemint.com

Twitter founder Jack Dorsey apologises for growing company 'too quickly’

Jack Dorsey in his Twitter post said that regrets growing the company too quickly as the social media platform downsizes following its sale to Elon Musk.
www.livemint.com www.livemint.com

Can you tell me how a company that does not have "profits" can run for more than a decade without being recapitalised. How is it "sustainable"?
 
Q

quovadis

Honorary Master
Joined
Sep 10, 2004
Messages
11,038
Emjay said:
You seem just a little bit upset. Did I touch you on your studio?

Once again missing the forest for the trees. The fact that Musk has laid off 50% of the workforce speaks to how unsustainable the business is.

But, please keep digging that hole.
Click to expand...
Not at all. Twitter pre-buyout had plenty of cash and had a healthy balance sheet. If anything it's less sustainable now - the merger would've depleted a bunch of that cash but the biggest addition is the $13 billion loan that needs to be serviced. Servicing that debt at perhaps 7% US prime has to come from somewhere and cutting jobs is the most obvious in the short term. His advertising revenue taking a dip in the short term doesn't help either but I'm sure the $8 fees will help bridge the gap.
 
P

Ponderer

Executive Member
Joined
Jan 8, 2019
Messages
9,741
quovadis said:
For it to make sense it requires the actual context not just feelings.
Click to expand...
Agree.
quovadis said:
With specificity to the discussion around Twitter's viability and sustainability go have a look at Twitter's financial statements and disclosure filings with the SEC including the independent audit opinions.
Click to expand...
Okay.
quovadis said:
Either Emjay is a genius or knows better than Musk, a couple of the big 5 audit firms, at least 7 banks and a ton of private equity firms.
Click to expand...
Methinks it's rather the case that you think you know better than Elon.
 
Q

quovadis

Honorary Master
Joined
Sep 10, 2004
Messages
11,038
Ponderer said:
Methinks it's rather the case that you think you know better than Elon.
Click to expand...
Nope. In case you haven't noticed I'm arguing that Elon bought the company based on solid consideration - his challenges post-merger aren't a mystery and commenting on those challenges is not knowing better - just commentary and discussion. You're trying to polarise this into a pro or anti-Elon position which its not.
 
Tim_vb

Tim_vb

Expert Member
Joined
Nov 7, 2008
Messages
1,385
MuterOfWorlds said:
Late to the party, but lost me here?
Click to expand...
Twitter faces interest payments totaling close to $1.2 billion in the next 12 months on the debt that Musk piled on it, following a string of interest rate hikes by the Federal Reserve, an analysis of the financing terms disclosed in regulatory filings shows.

The payments exceed Twitter's most recently disclosed cash flow, which amounted to $1.1 billion as of the end of June, according to financial disclosures Twitter made before Musk took it private on Oct. 27.


www.reuters.com

Analysis: Twitter's 'massive' revenue drop adds to heavy debt burden

Elon Musk's revelation that Twitter has suffered a "massive" revenue drop since he took over 10 days ago underscores the precarious nature of the social media company's finances after he saddled it with $13 billion in debt, credit experts say.
www.reuters.com www.reuters.com
 
Pegasus

Pegasus

Honorary Master
Joined
May 17, 2004
Messages
13,976
quovadis said:
Perhaps looking at business's financial statements beyond the Net Profit line item would be a start.

I'm not arguing the definition of sustainable. I'm arguing that your assertion that the the greatest determinant of sustainability is net profit is idiotic.

Perhaps if you would tell me where I'm wrong specifically that would help. I think I've been pretty consistent that my issue is with your "Net Profit" statement. And you're responding right now.
Click to expand...

Maybe in your argument you can mention that profits and dividends are taxed. So that money goes to communists.

So to avoid giving money to communists, the company retains those earnings to reinvest in the business so it grows and they get a bigger market share.

If a right wing shareholder wants profit they can sell the shares and pay hopefully only CGT.
 
Last edited:
Pegasus

Pegasus

Honorary Master
Joined
May 17, 2004
Messages
13,976
Tim_vb said:
Twitter faces interest payments totaling close to $1.2 billion in the next 12 months on the debt that Musk piled on it, following a string of interest rate hikes by the Federal Reserve, an analysis of the financing terms disclosed in regulatory filings shows.

The payments exceed Twitter's most recently disclosed cash flow, which amounted to $1.1 billion as of the end of June, according to financial disclosures Twitter made before Musk took it private on Oct. 27.


www.reuters.com

Analysis: Twitter's 'massive' revenue drop adds to heavy debt burden

Elon Musk's revelation that Twitter has suffered a "massive" revenue drop since he took over 10 days ago underscores the precarious nature of the social media company's finances after he saddled it with $13 billion in debt, credit experts say.
www.reuters.com www.reuters.com
Click to expand...
according to financial disclosures Twitter made before Musk took it private on Oct. 27.

Some aspects of Twitter's current financial health are uncertain, because the company hasn't made enough disclosures. It's not clear how much of the $5.29 billion debt Twitter had before the acquisition was refinanced or remained with the company. It's also not clear how much of the $2.7 billion in cash that Twitter held as of the end of June it got to keep once it went private

1667903081053.png
 
AstroTurf

AstroTurf

Lucky Shot
Joined
May 13, 2010
Messages
30,534
Pegasus said:
according to financial disclosures Twitter made before Musk took it private on Oct. 27.

Some aspects of Twitter's current financial health are uncertain, because the company hasn't made enough disclosures. It's not clear how much of the $5.29 billion debt Twitter had before the acquisition was refinanced or remained with the company. It's also not clear how much of the $2.7 billion in cash that Twitter held as of the end of June it got to keep once it went private

View attachment 1417475
Click to expand...

Urban Dictionary: derailing a thread

The act of throwing a thread in a discussion forum off topic, oftentimes so much so that the original discussion is unable to continue. A common result of a troll attempting to have fun at the expense of people actually trying to use the forum. A common result of a flame war between multiple...
www.urbandictionary.com www.urbandictionary.com
 
You must log in or register to reply here.
Top