Skip to main content

Elon Musk Pulls The Plug On Twitter, Discontinues His $44 Billion Deal To Buy Twitter On Friday

Elon Musk Stops His $44 Billion Deal To Buy Twitter On Friday.

Musk said he had backed out because Twitter failed to provide enough information on the number of spam and fake accounts.

Musk is accusing the company of “misleading” statements about the number of fake accounts, a regulatory filing showed.

In a letter filed with the US Securities and Exchange Commission, Mr Musk's lawyer said Twitter had failed or refused to provide this information.

"Sometimes Twitter has ignored Mr. Musk's requests, sometimes it has rejected them for reasons that appear to be unjustified, and sometimes it has claimed to comply while giving Mr. Musk incomplete or unusable information," the letter reads.

Musk terminating the deal that he inked in April to buy the social media giant sets the stage for an epic court battle over a billion-dollar breakup fee and more.

“Mr. Musk hereby exercises (the) right to terminate the Merger Agreement and abandon the transaction,” his lawyers said in a letter to Twitter, a copy of which was filed with the Securities and Exchange Commission.

Musk’s change of heart about buying Twitter appeared to suggest some “buyer’s remorse” for offering a price of $54.20 per share that now appears “laughable,” CFRA Research senior equity analyst Angelo Zino said in a note to investors before the deal was officially nixed.

Musk has said he believes number of accounts run by software instead of people to be much higher, Twitter, maintain that it is not more than five percent. 

With a recommendation by Twitter’s board for shareholders to approve the buyout at a special vote, which was expected to be held in August. Elon Musk had to make a decision.

In May, Mr Musk said the deal was "temporarily on hold" as he was awaiting data on the number of fake and spam accounts on Twitter.

The billionaire businessman had asked for evidence to back the company's assertion that spam and bot accounts make up less than 5% of its total users.

Spam accounts are designed to spread information to large numbers of people and manipulate the way they interact with the platform. On Thursday, Twitter said it removed around 1 million such accounts each day.

Mr Musk believes that spam or bot accounts could account for 20% or more of Twitter users.

Shares in Twitter fell by 7% in extended trading after the announcement.

In a filing, Mr Musk said he'd repeatedly been refused information about the number of bot accounts on Twitter - which is why he wished to terminate the deal.

Elon Musk though has already put pen to paper on this deal, and it is not totally clear whether he can back out at this stage. Mr Musk will need to prove that Twitter breached their agreement.

Twitter says it plans to pursue legal action to enforce the agreement.



Comments

  1. Billionaire behaviour 😂😂

    ReplyDelete
  2. Money too much 😂😂😂

    ReplyDelete

Post a Comment

Type your comments here

Popular posts from this blog

Inspiration

Be Inspired! A very poor woman called a radio station asking for help from God. A non-believer who was also listening to this radio program decided to make fun of the woman. He got the woman's address from the radio station and told his secretary to carry a large amount of foodstuff to the woman.  However, he gave the following instruction; "When the woman asks who sent the food, tell her that it's from the devil." When the secretary arrived at the woman's house, the woman was happy and grateful for the help received. She started putting the food packets inside her small house.  The secretary then asked her, "Don't you want to know who sent the food?" The woman replied, "No, I don't care... because when GOD orders, even the DEVIL obeys! Have a blessed day ahead. 🤣😅🤣😅🤣😅🤣 Image: iStock

Big Brother, Pere Egbi - A Car Is Not An Investment

Big Brother Naija reality show star, Pere Egbi, has explained that he doesn’t own a car because it isn’t an investment. Pere Egbi He berated those who squander their money on exotic cars, stressing that landed properties and businesses are assets but not cars. Speaking in the latest episode of the Spill With Phyna podcast, Pere said,  “Car no be investment. A house is an asset, a business is an asset. Using all your savings to buy cars is unnecessary. Right now, I don’t own a car. I used to drive a brand new lexus LS570 but I sold it because I needed to put the money into my film. It’s an investment. At the end of the day, I made more that from the film.” What do you think of Pere's mindset on acquiring cars? 

Grammy's, Global Music Album Category: Angelique Kidjo knocks Femi Kuti, Wizkid And Made Kuti To Win

Beninise singer and songwriter, Angelique Kidjo’s ‘Mother Nature,' wins big at the at the Grammy award, at the 64th edition at the MGM Arena, Las Vegas.  Kidjo, wins the Best Global Music album category at the 2022 Grammys awards. Wizkid, Femi Kuti, and Made Kuti lost out in the two categories, Best Global Music Performance and Best Global Music Album. While the Nigerian music stars lost to Arooj Aftab for her single ‘Mohabbat’ in the Best Global Music Performance, Angelique Kidjo won the Best Global Music Album. The Beninese singer is winning a Grammy for the fifth time in her blooming career. In her acceptance speech, Angelique, proclaimed it is a big win for Africa. The nominations for the category were Angelique Kidjo, Femi Kuti, Made Kuti and Wizkid,