According to a letter the billionaire Tesla CEO’s team delivered to Twitter, Elon Musk is cancelling his USD 44 billion bid to buy Twitter due to many violations of the purchase agreement. The letter on Friday stated that Twitter was in material violation of numerous sections of the Merger Agreement, as further explained below. As a result, Mr. Musk was dissolving the agreement. “In short, Twitter has not provided information that Mr. Musk has requested for nearly two months notwithstanding his repeated, detailed clarifications intended to simplify Twitter’s identification, collection, and disclosure of the most relevant information sought in Mr. Musk’s original requests,” reads the statement.
In April, Musk acquired Twitter for USD 54.20 per share in a transaction valued at approximately $44 billion. The deal was put on hold in May while Musk’s team reviewed Twitter’s claim that less than 5% of accounts on the platform are bots or spam. In June, Musk openly accused Twitter of breaching the merger agreement and threatened to walk away and call off the acquisition of the social media company for not providing him with the spam and fake account data he had requested.
According to CNN, Musk sent a letter to Twitter’s head of legal, policy and trust, Vijay Gadde, alleging that Twitter is “actively resisting and thwarting his information rights.”
