(Bloomberg) -- Twitter Inc.'s $44 billion deal to be acquired by Elon Musk means it risks losing advertisers and employees, who may be concerned about the company's uncertain future.
Most Read from Bloomberg
Biggest Treasury Buyer Outside U.S. Quietly Selling Billions
End of Easy Money Brings a $410 Billion Global Financial Shock
Citi's London Trading Desk Behind European 'Flash Crash'
Dip Buyers Save the Day as Stocks Finish Higher: Markets Wrap
Ukraine Latest: Pentagon Sees Poor Russian Morale, Bad Logistics
Twitter said it may be difficult to attract and retain key people, and mentioned "the possibility that our current employees could be distracted, and their productivity decline as a result, due to uncertainty regarding the merger," the company said in a regulatory filing Monday.
The company added that it would be difficult to make changes to its business until the deal is completed. Twitter has paused hiring and app updates while the acquisition is pending. It could still fall apart, which would also be bad for business, and likely affect the company's stock, Twitter said.
"Any disruptions to our business resulting from the announcement and pendency of the merger, including adverse changes in our relationships with employees, advertisers and other business partners, may continue or intensify in the event the merger is not consummated or is significantly delayed," Twitter said in the filing.
Most Read from Bloomberg Businessweek
War Is Making One of the Richest Countries Even Richer
Nobody Knows Where the Red Line Is for Cyberwarfare
An Entire Neighborhood Is Being Flipped by a Los Angeles Developer
Jack Bogle Was a Punk
ESG Investing Is Hard. Doing It via ETFs Is Harder
©2022 Bloomberg L.P.
