Elon Musk sends warning text to Twitter CEO Parag Agrawal; Says THIS
Twitter also sued Musk a few days ago when he opted to back out of the $44 billion takeover bid.
- Twitter also sued Musk a few days ago when he opted to back out of the $44 billion takeover bid.
- Twitter accused the world's richest person of "knowingly" breaking the agreement."
- Elon Musk revealed in April that he owns 9.2 percent of Twitter.
New Delhi: Even as the Elon Musk-Twitter deal remains dormant, the billionaire recently texted Twitter CEO Parag Agrawal, claiming that the social media company's lawyers are attempting to "cause trouble" by requesting financial details on how he intends to purchase the firm. According to reports, the SMS was sent on June 28.
"Your lawyers are causing difficulties with these chats." That has to stop," according to a Business Insider report based on Musk's text message. It went on to say that Musk's text was in response to Twitter's decision to ask Musk how he planned to finance the acquisition of the firm. Read More: iPhone 14 Pro, iPhone 14 Pro Max design leaked ahead of its launch in September; 3D models surface online
The social networking company also sued Musk a few days ago when he opted to back out of the $44 billion takeover bid. According to The Verge, the case was filed on Tuesday in Delaware's Court of Chancery, charging Musk of hypocrisy. Read More: Garena Free Fire redeem codes for today, 17 July: Check website, steps to redeem
"Twitter brings this action to prevent Musk from additional breaches, to compel Musk to fulfil his legal duties, and to compel the merger to be consummated upon fulfilment of the few remaining requirements," Twitter claimed in the lawsuit. The lawsuit is the start of what could be a long legal struggle as Twitter seeks to hold Musk accountable for his agreement to pay USD 54.20 per share for the firm. "Twitter, which is represented by M&A powerhouse law firm Wachtell, Lipton, Rosen & Katz, argued that Musk sought an out of the agreement, which needed a "substantial adverse effect" or breach of contract," according to the report.
Days after Tesla Inc's CEO attempted to back out of the $44 billion transaction, Twitter accused the world's richest person of "knowingly" breaking the agreement "breaching a purchase agreement for the social media company
In a recent letter to Musk, Twitter stated that it had not violated its responsibilities under the merger agreement, as Musk had indicated in his decision to terminate the acquisition. "Twitter has not experienced and is unlikely to experience a Company Material Adverse Effect, "it was added.
Elon Musk revealed in April that he owns 9.2 percent of Twitter, making him the company's largest individual stakeholder. Following that, Twitter CEO Parag Agrawal announced that Elon Musk will join Twitter's board of directors. Elon Musk, on the other hand, declined the offer and stated that he would instead take the company private.
Later, a group of Twitter shareholders launched a federal securities class action lawsuit against Musk, alleging that he failed to disclose his 5% holding in Twitter when required. Elon Musk made a bid to buy Twitter for $43 billion, or $54.20 per share, on April 14. Following this, Twitter's board of directors implemented a "poison pill" to protect its share gains.
Musk has secured $46.5 billion in financing for the transaction, which includes $21 billion in personal equity and $25.5 billion in loans. The board of directors of Twitter meets to examine Musk's offer and accepts his offer to buy shares for $44 billion.
After a few days, Musk unexpectedly stated on May 14 that the Twitter transaction is "temporarily on pause" due to Twitter's false account claim. It was looking for information about fraudulent Twitter accounts. Later, on July 8, Musk announced in an SEC filing that he was cancelling the Twitter deal due to nondisclosure of data. Twitter stated that it will close the purchase legally.