Elon Musk may walk away from his $44 billion deal to acquire Twitter if.....text_fields
Elon Musk is threatening to end his $44 billion agreement to buy Twitter, accusing the company of refusing to give him information about its spam bot accounts. Lawyers for the Tesla and SpaceX CEO made the threat in a letter to Twitter dated Monday that the social platform included in a filing with the Securities and Exchange Commission
The letter said Twitter was in a "clear material breach" of its obligations and that Musk reserves all rights to terminate the merger agreement. Earlier in March, Musk said he would put the deal "temporarily on hold", while he waits for the social media company to provide data on the proportion of its fake accounts.
"Musk believes Twitter is transparently refusing to comply with its obligations under the merger agreement, which is causing further suspicion that the company is withholding the requested data due to concern for what Musk's own analysis of that data will uncover," according to the letter.
"Musk believes the company is actively resisting and thwarting his information rights," the letter by Musk's lawyers said.
The letter says Musk has repeatedly asked for the information since May 9, about a month after his offer to buy the company, so he could evaluate how many of the company's 229 million accounts are fake.
Twitter shares were down 5.5 percent at $37.95 (roughly Rs. 2,900) in premarket trading.