Musk made a formal offer to buy the social network — he already owns 9% of its share capital — for $44,000 million.
Tesla CEO, Elon Musk, has threatened to withdraw its offer and cancel the purchase on Twitter because, according to them, the social network does not provide them with information about false accounts on the platform. This is reflected in a letter addressed to the company’s legal officer that has been disclosed by the Securities and Exchange Commission (SEC).
Thus, according to the document collected by AFP, Twitter would have committed “a clear material breach of its obligations” under the merger agreement and Mr Musk. reserves the right not to complete the transaction and your right to terminate the merger agreement.” According to the firm, about 5% of the registered accounts are bogus.
The letter reads, “Twitter’s latest offer is the equivalent of denying Mr. Musk’s requests for data, whether through written documents or verbal explanations, to provide additional details about its testing methods only. “
On May 13, the businessman decided to temporarily suspend the purchase of Twitter. The reason, he explained, was that he wanted to know in more detail what the proportion of false accounts and ‘bots’ exceeded the total number of active users of the social network, although at the time he “still claimed to have committed . Earning.”
When the president of Twitter, Parag Agarwalbriefed Musk about the company’s analysis of this data, Tesla’s manager responded with only an emoji of excrement and then criticized the analysis for what he deemed appropriate.
Musk made a formal offer to buy the social network — he already owns 9% of its share capital — for $44 billion. Shortly after, he himself began using the platform to suggest changes and criticize the lack of this information. In this area it came to be understood as a strategy to be able to go back to the purchase agreement without paying compensation.
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