Elon Musk injects more money than expected for the takeover of twitter, reducing the amount borrowed from banks.  May 2, 2022, at the “Met” gala in New York.

The US Department of Justice announced on Wednesday May 25 that it had reached an agreement with Twitter which provides for a fine of 150 million dollars (140 million euros) and obligations for the social network to better respect the confidentiality of personal information. .

Authorities accuse the platform of deceiving its users from 2013 to 2019 by hiding that it was using their personal data to help companies send them targeted advertising.

The department’s complaint mentions in particular the collection of telephone numbers and e-mail addresses for the stated purpose of securing access to accounts. “But they also used this data to target users with ads”said Lina M. Khan, the president of the American competition authority (FTC), quoted in the press release of the ministry. “This practice has affected more than 140 million Twitter users and helped increase the main source of income” of the Californian group, she added.

Twitter confirmed in a press release that it had paid this fine and recognized a « incident » : “Some email addresses and phone numbers provided for security purposes may have been inadvertently used for advertising purposes”, detailed Damien Kieran, Chief Privacy Officer. The San Francisco-based company said it has “fixed the problem” in September 2019.

Elon Musk offensive, the action flies away

At the same time, Elon Musk raised to $33.5 billion the amount contributed directly by the entrepreneur and his partners for the takeover of Twitter, further lowering the amount borrowed from banks.

The chief executive of Tesla, who had initially subscribed for 25.5 billion loans, lowered these loans to 13 billion dollars, according to a document registered on Wednesday by the American authority of the markets (SEC), which considerably lightens his load. financial.

Also listen What future for Twitter, bought by Elon Musk?

After the announcement, the action of the bluebird group soared in trading after the close of Wall Street. At 1:00 this Thursday morning, the title took more than 5%. At the beginning of May, several existing shareholders of Twitter had already agreed to contribute their shares to the operation and thus remain a minority within the capital once the company is delisted. On Wednesday, the SpaceX founder announced that he had received new direct commitments, which allowed him to reduce the amount of loans taken out for the acquisition by an additional 6.25 billion.

He did not specify whether this amount came, in whole or in part, from his personal assets, or whether other investors had joined him.

The World with AFP

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