Elon Musk Reneges on Deal to Purchase Twitter

325

Months ago, Americans learned that business tycoon Elon Musk planned to purchase Twitter.

Musk stated as the new owner of Twitter, he’d ensure the platform sustained free speech rights and didn’t censor people based on their politics.

SPECIAL: Get Your FREE Red Trump 2024 Hat Here

However, as the deal proceeded, disputes over spam bots came up. Musk and his legal team expressed uncertainties about whether or not Twitter was candid about the number of spam bots on the platform.

In Twitter’s defense, the company claimed only 5% of its accounts are spam bots; however, Musk and his legal team didn’t see it this way.

On Friday, news broke that Musk would be reneging on his deal to acquire Twitter, as documented by Washington Examiner.

The Deal Crumbles

Yesterday, Musk officially submitted documents to the Securities and Exchange Commission (SEC) that informed them he wasn’t going to move forward with buying Twitter.

The businessman disclosed to the SEC that Twitter wasn’t forthright about spam and bots on the site.

Musk’s documentation then went on to accuse Twitter of being intentionally misleading, therefore giving Musk solid grounds to pull out of the previously settled agreement.

News of Musk’s decision went viral on social media. Americans weighed in with their thoughts, some speculating that the whole deal may have been nothing more than a publicity stunt.

However, with Musk calling off what would have been a $44 billion agreement, questions have come up about Twitter’s response. Apparently, the social media platform is going to fight back to prevent Musk from reneging.

Twitter on Musk’s SEC Documentation Claims

After Elon Musk revealed he has no intentions of buying Twitter anymore, Bret Taylor, a board chairman of Twitter, weighed in on the matter.

Taylor stated Twitter has absolutely no intention of letting Musk renege on a deal that was previously agreed upon. The board member then said Twitter intends to move forward with the merger agreement and will take Musk to court in order to make sure this pans out.

Finally, Taylor confirmed that Twitter has every confidence it will prevail, despite Musk’s assertions concerning the company being dishonest about spam bots on the website.

The Twitter board member did not specifically address the issue of spammy profiles mentioned in Musk’s SEC documentation. However, Taylor’s statement does very well indicate that Musk may be in for a nasty legal battle with the social media site.

The possibility also exists for the businessman to find himself on the receiving end of a $1 billion fine for reneging on his deal to purchase Twitter.

Are you surprised that Elon Musk’s deal to purchase Twitter has fallen apart? What do you think the approaching legal battle between Musk and Twitter will entail? In the comments area below, you’re welcome to share your ideas.