Elon Musk, the CEO of Tesla and SpaceX, has decided to back out of a deal to buy Twitter for $44 billion. Musk says that he made this decision because the company hasn’t solved the problem of fake and spam accounts. On the microblogging platform to his satisfaction.
In a letter to the Securities and Exchange Commission (SEC). Musk’s lawyer said that Twitter did not answer a number of requests for specific information about these accounts. Also, Musk’s lawyers had made these requests. This information is a must if the organization wants to improve its overall business performance.
According to the complaint, Twitter did not respond to many of Elon Musk’s requests for information. And when it did, it did so without explaining why it had denied the requests. Why Musk’s requests had been denied.
In the complaint, has said that Twitter had not only broken several parts of the Merger Agreement but also given Elon Musk false and misleading information to get him to buy Twitter. One of the claims in the case was that this happened.
Twitter hasn’t said anything about Elon Musk announced that he was giving up on the $44 billion deal. Musk told people about it on Twitter. On the other hand, Bret Taylor, the Chairman of Twitter, said that the company will take legal action against Elon Musk. Musk is the focus of these court cases.
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It is important to let you know that one part of the agreement involving billions of dollars says that Elon Musk must pay Twitter a billion dollars. If he doesn’t follow the conditions of the Merger Agreement.