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Twitter has ceased to exist as a separate company


Avril, 11 2023
watermark Economic news

Twitter Corporation ceased to exist as a separate company as a result of a merger with X Corp., owned by American entrepreneur Elon Musk. This became known from the ruling of the district court in the state of California.


Analysts believe that Musk planned to merge the companies even before buying the social network Twitter. In April 2022, he registered three companies: X Holdings I, II and III, designed to facilitate the purchase of Twitter. Then Twitter merged with X Holdings II, retaining its name and overall corporate structure. X Holdings I, controlled by Musk, acted as the parent company of the combined entity, while X Holdings III took on a $13 billion loan to buy Twitter.


Then in early March of this year, Elon Musk registered two companies: X Holdings Corp and X Corp. A week later, the entrepreneur applied for the merger of X Holdings I with X Holdings Corp. and Twitter Inc. with X Corp. 


In this case, the law obliges X Corp to acquire Twitter, which means that now Twitter Inc. does not legally exist as a company based in Delaware. It is now part of X Corp, whose parent company is X Holdings Corp of Nevada. It is expected that in the future Twitter will become part of the «app for everything» called X and will be able to compete with the Chinese superapp WeChat.


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