Elon Musk has terminated his interest in purchasing social media powerhouse Twitter for US$44 billion citing the firm for breaching a number of agreements on the merger.
This comes after the father of 9 had been dragging his feet to conclude the deal after information received claiming Twitter use numbers were not what they seemed and more bots than earlier admitted. Twitter Chairman complained on a micro-blogging site about Elon’s pullout and had vowed legal action against the Tesla CEO.
The legal team working for Elon said they are pulling out of the deal after Twitter failed or refused to respond to multiple requests for information on fake accounts or spam accounts on the platform.
Both parties will be heading to the courts now, with Twitter insistent on moving ahead with the merger, while Elon will get his way in attaining full disclosure on the fake account disputes. Disputed mergers in Delaware court usually end up with companies re-negotiating deals or the acquirer paying the target a settlement and walk away.
