New Delhi: In a major development, Tesla CEO Elon Musk announced the termination of the $44 billion bid takeover of Twitter on Saturday.
Updates
- Musk said that the deal is terminated because of multiple breaches in the purchase agreement.
- Twitter in response will file a suit against Elon and will force him to buy the company on agreed terms.
- Bret Taylor, Twitter’s board chair in a statement said that the company is “committed to closing the transaction.”
- Bret added that the company plans on pursuing legal action to enforce the merger agreement.
- Musk alleged that Twitter is “actively resisting and thwarting his information rights” as outlined by the deal.
- Musk’s letter added, “Twitter has not provided information that Mr. Musk has requested for nearly two months notwithstanding his repeated, detailed clarifications.”
- Twitter’s board chair statement added that they are confident that it will prevail in the Delaware Court of Chancery.
- Musk cited another reason for walking away from the deal is because Twitter fired a lot of high-ranking executives and talent acquisition teams in the past few days.
- Earlier, Twitter CEO Parag Agarwal in a statement said that the company will continue to share information with Musk to consummate the transaction in accordance with the agreement for the merger.