Update: Twitter is suing Elon Musk to prevent him from pulling out of a $44 billion buyout deal
Update: Twitter is reported to have filed a lawsuit against Elon Musk on July 12 to “force” its completion of a $44 billion buyout of the social media company.
In recently surfaced court documents, Twitter claims Elon Musk acted in bad faith after reaching a deal to buy the media platform earlier this year. The documents state,
“In April 2022, Elon Musk signed a binding merger agreement with Twitter, promising to do his utmost to complete the deal. Now, less than three months later, Musk is refusing to honor his obligations to Twitter and its shareholders because the deal he signed no longer serves his personal interests.”
It goes on,
“After putting on a public spectacle to bring Twitter into play and proposing and then signing a seller-friendly merger agreement, Musk apparently believes he—unlike any other party subject to Delaware contract law—is free to change your mind, disrupt the company, its operations, destroy shareholder value, and walk away.”
The suit comes after Elon Musk made headlines earlier this month when he ended his deal to buy the company. He reportedly pulled out of the deal because Twitter “violated multiple terms” of an original agreement. Elon Musk believes that Twitter has not provided enough information about the number of fake accounts and bots on its network and has not given its team enough data to conduct their own investigation.
Representatives of the CEO of SpaceX said in court documents:
“Sometimes Twitter has ignored Mr. Musk’s requests, sometimes it has rejected them for reasons that seem unwarranted, and sometimes it has claimed to comply while giving Mr. Musk incomplete or useless information.”
Original story: It resembles Elon Musk is the new official owner of Twitter!
Earlier today (April 25), reports surfaced that: Elon Musk was approaching a deal to buy Twitter. This news comes just 11 days after the 50-year-old business magnate shocked the industry by offering to buy the company in a deal worth more than $41 billion. Last week, Elon Musk revealed that he had raised $46.5 billion in financing to take over the company. A source familiar with the deal says Twitter’s board met on Sunday (April 24) to review from Musk offering to buy all of the company’s stock that he does not currently own for $54.20 each.
It now seems like everything worked out in from Musk favor! According to the latest reports, Twitter Inc. announced that it has entered into a definitive agreement under which it will be acquired,
“by an entity wholly owned by Elon Musk.”
With the reported cash deal of over $50 a share, the total amount for the social media platforms comes to about $44 billion. As soon as the transaction is complete, Twitter announced Monday afternoon, the company will go private.
Elon Musk seemingly hinting at the potential deal on Monday (April 25) when he tweeted,
“I hope even my worst critics stay on Twitter because that’s what free speech means.”
On Thursday (April 21), he also revealed what he would like to do if his bid to own Twitter goes through successfully.
“If our twitter bid succeeds, we’ll beat the spambots or die trying!”
This new deal puts the world’s richest man in charge of one of the most influential social media platforms. Entrepreneur and business magnate Elon Musk is the CEO and Product Architect of tesla. He is also the CEO and chief engineer of his space exploration company, SpaceX† From this year on from Musk net worth is reportedly $264.6 billion.
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