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Elon Musk Terminates $44bn Deal To Buy Twitter

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Elon Musk Naija News 247

The world the richest man and the Chief Executive Officer (CEO) of Tesla Inc, Elon Musk has terminated his $44 billion Twitter deal.

This was confirmed by Reuters on Friday, quoting the elite as saying that the social media company had failed to provide information about fake accounts on the platform.

In a filing, Musk’s lawyers said Twitter had refused to respond positively to a series of requests for information on fake or spam accounts on the microblogging platform, which is fundamental to the company’s business performance.

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Twitter in April 2022 confirmed it had accepted the $44 billion bid by the billionaire entrepreneur.

Shares of Twitter were down 7% in extended trading. Musk was said to have earlier offered $54.20 per share in April.

On the micro-blogging platform, Twitter’s chairman, Bret Taylor, said that the board planned to pursue legal action to enforce the merger agreement.

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“The Twitter Board is committed to closing the transaction on the price and terms agreed upon with Mr Musk,” Taylor wrote.

However, Musk’s lawyers mentioned in a filing that “Twitter is in material breach of multiple provisions of that Agreement, appears to have made false and misleading representations upon which Mr Musk relied when entering into the Merger Agreement.”

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Due to the emerging development on Friday, Musk would be required to pay a $1 billion breakup fee if he does not complete the transaction.

Naija News 247 understands that Musk’s latest decision will likely result in a long protracted legal tussle with the 16-year-old San Francisco-based company.

Olajire Taofeek
I've been a freelance web developer and blogger for a while now, and I have passion for both. Like most men, I'm a football lover, infact I prefer playing to watching matches. Personally, I believe with dedication there's no limit to what we can achieve. Yes, we all have the power and ability to do that. You can contact me via [email protected] for your web design and development gigs.

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