Twitter deal News
Tesla CEO Elon Musk detailed the timing for the merger's failure, accusing Twitter of breach of contract. Musk and his Morgan Stanley financial advisors have been looking for information on the prevalence of fraudulent accounts since May 9. Musk claims that the microblogging site is in breach of contract because it refused to release the information.
Musk negotiated the Twitter deal over the weekend of April 23 and April 24 without carrying out any due diligence. Musk has questioned the accuracy of Twitter`s public filings about spam accounts representing less than 5% of its user base. Twitter investors appeared convinced that a deal at the agreed price was now out of the question.
Many of the biggest Wall Street banks, led by Morgan Stanley, Bank of America Corp and Barclays Plc, committed to providing $25.5 billion in debt. Musk himself committed another $21 billion in cash. Musk had said he did not care about the economics of the deal "at all" and was pursuing Twitter to advance free speech.