12.5 C
New York
Wednesday, October 5, 2022

How will the Ukraine war evolve?

Russian collapse, frozen conflict or nuclear attack:...

Islamic State crime

Islamic State burns down Christian village in...

YouTube blocks 4K on iOS

Google requires YouTube Premium to be able...

Elon Musk passes on Twitter

BusinessElon Musk passes on Twitter

Elon Musk breaks Twitter purchase agreement and the social network will sue him to enforce the deal

The soap opera that has become the purchase of Twitter by Elon Musk lives a new chapter after the tycoon has communicated that he withdraws the acquisition offer. Musk alleges a breach of the agreement by Twitter, something denied by the board of directors of the social network, which through its president has already advanced that it will sue the billionaire to comply with the agreement and pay the $43 billion promised.

“For nearly two months, Mr. Musk has sought the data and information necessary to ‘make an independent assessment of the prevalence of fake or spam accounts on the Twitter platform,'” reads the letter that Elon Musk’s legal team has sent to the U.S. Securities and Exchange Commission. “This information is critical to Twitter’s business and financial performance and essential to complete the transactions contemplated by the merger agreement […].”

“Twitter has failed or refused to provide this information,” the message continues. “At times, Twitter has ignored Mr. Musk’s requests, sometimes refused them for reasons that appear unwarranted, and sometimes claimed to comply while giving Mr. Musk incomplete or useless information.” Musk’s lawyer claims that the buyout offer was made based on Twitter’s public data on the number of fake or spam accounts. Believing that this information was inaccurate, the tycoon says he is in a position to rescind the deal.

Not seeing it the same way is Bret Taylor, chairman of Twitter’s board of directors, who in a tweet has communicated that he “is committed to closing the transaction with the price and terms agreed with Mr. Musk.” To achieve this, the company plans to file a lawsuit. In court, it will be up to Musk’s legal team to prove that Twitter has breached the purchase agreement, as the billionaire can’t just walk away. The legal battle is on.

Elon Musk began by acquiring 9.2% of Twitter last April in a $2.89 billion deal. A few days later he launched a buyout offer that valued the social network at $43 billion, and the board of directors accepted the proposal. However, Musk soon paved the way for a backtrack and in May stalled the acquisition by claiming that “at least” 20% of Twitter accounts could be fake. Two months later, Musk calls off the deal and will be sued.

There is a good reason why Elon Musk wants to walk away from the deal and Twitter to keep it. The tycoon committed to pay $54.20 for each share of the social network, which right now trades at $36.81. In addition, if the purchase is not consummated the culprit must pay $ 1 billion.

3 COMMENTS

  1. Ohhh twitter…. they’re missing out on a bargain because of their crappy social network full of bots and spam and of course, it’s time to cry.

    I hope they fail against twitter and it sinks in misery.

  2. Twitter, that dunghill full of totalitarians, bots, spam and shit in general, and some still have the gall to call Elon Musk a dick, egocentric, etc…. You are the living example of what Twitter is all about. With all that Elon Musk has achieved, it’s not that he has the right to be egocentric, it’s that he has the obligation to be so.

    How desperate Twitter has to be, to sue someone who refuses to pay anything for a crappy social network. Even the social network moguls are eager to get rid of it.

    • I totally and absolutely agree.

      The thing is that there are a lot of idiots here who dislike Elon Musk out of simple and pure envy.

      Twitter sucks and the best thing that could happen to that dunghill is that Elon Musk would buy it and with only half of what he promised to do with the network, it would be infinitely better than what it is now.

      But of course, Musk is not the typical asshole who is going to buy a ruinous business for money he doesn’t deserve, it’s that clear.

LEAVE A REPLY

Please enter your comment!
Please enter your name here

Check out our other content

Most Popular Articles