Twitter shares plummeted on Monday, wiping away all of the gains gained since Elon Musk revealed his ownership of the social media network. Twitter's stock dropped 6% to $38.1, falling below the $39.3 close on April 1, the final trading session before Musk revealed his 9 percent stake.

Last month, Musk proposed taking the firm private for $54.2 per share. However, uncertainty surrounding the deal, fueled in part by Musk's statements, has left the shares trading significantly below the offering price, raising concerns about whether the purchase will be completed.

Twitter's Shares Dropped on Friday After Musk Said his Bid was Temporarily on Hold

Twitter shares plummeted on Monday, wiping away all of the gains gained since Elon Musk revealed his ownership of the social media network. Twitter's stock dropped 6% to $38.1, falling below the $39.3 close on April 1, the final trading session before Musk revealed his 9 percent stake.

Last month, Musk proposed taking the firm private for $54.2 per share. However, uncertainty surrounding the deal, fueled in part by Musk's statements, has left the shares trading significantly below the offering price, raising concerns about whether the purchase will be completed.

Twitter's Shares Dropped on Friday After Musk Said his Bid was Temporarily on Hold

The disparity between Musk's buyout price and market value, a gauge for whether the transaction will close, expanded to a new high of almost $16 on Monday.

Twitter's shares dropped on Friday after Musk said his bid was "temporarily on hold," while he insisted that he was "still committed" to the purchase.

Elon Musk has Put the $44 Billion Twitter Deal on Hold for the Time Being

Elon Musk announced on Friday that his $44 billion purchase of Twitter Inc was temporarily halted owing to awaiting information on spam and fake accounts.

"Twitter deal on hold temporarily seeking information supporting calculation that spam/fake accounts do constitute less than 5% of users," Musk tweeted.

What Was the Deal?

Elon Musk made a bid to acquire Twitter for $43 billion on April 14. Musk stated, "I propose to acquire 100% ownership for $ 54.20 per share, a 54 percent premium to the cost the day before I began investing in Twitter." This is my best and final offer, and if it is not accepted, I will be forced to reevaluate my position as a shareholder. Musk has 9.2 percent of Twitter. It was announced on April 4th.

Musk's first bid was $43 billion, but since Twitter's transaction was authorized on Monday, that sum has risen to $44 billion. It is unknown how the figure increased.