Elon Musk, the CEO of Tesla and SpaceX, gave up on buying Twitter, which he aspires to. Musk terminated the $44 billion Twitter deal.
In the notifications to the US Securities and Exchange Commission (SEC), it was reported that Musk officially terminated the agreement in a letter, citing violations of multiple provisions.
THE FIRST REACTION FROM TWITTER
Twitter Chairman Bret Taylor announced that Tesla and SpaceX CEO Elon Musk is planning to initiate legal action to enforce the approximately $44 billion acquisition deal that was terminated.
The first reaction came from Twitter after Musk terminated the purchase agreement.
Twitter Chairman Taylor, in a post on his social media account, said, “The Twitter Board is committed to completing the transaction with Musk at the prices and terms agreed upon, and plans to take legal action to enforce the merger agreement.” used the phrase.
Taylor stressed that he is confident that they will prevail in the lawsuit to be filed.
Elon Musk’s lawyers, on the other hand, stated in a statement to the US Securities and Exchange Commission (SEC) that Twitter did not respond or refused to respond to multiple requests for information about fake or spam accounts on the platform, which is important to the company’s business performance.
In the statement, it was stated that Twitter was found to have fundamentally violated many provisions of the agreement and made false and misleading statements.
With the termination decision, the agreement condition, which requires Musk to pay 1 billion dollars in case the transaction is not completed, came to the agenda.
WHAT HAPPENED?
Elon Musk, who previously bought a 9.2 percent stake in Twitter, made an offer of $54.2 per share for the entire Twitter, in his notification to the SEC on April 14.
In the statement made on April 25 from Twitter, it was reported that the agreement for the sale of the company to Musk was reached.
Musk announced on May 13 that the deal to buy social media company Twitter for approximately $44 billion was temporarily suspended.
In his post on his Twitter account, Elon Musk announced that the Twitter deal was temporarily suspended due to “expected details about the calculation that spam and fake accounts account for less than 5 percent of total users.” (AA)