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Related: Editorials & Other Articles, Issue Forums, Alliance Forums, Region ForumsMusk accuses Twitter of withholding data on fake accounts in letter
This claim is bogus. The only out in the merger agreement for Musk to pay Twitter $1 billion as liquidated damages
Link to tweet
https://www.washingtonpost.com/business/2022/06/06/musk-twitter-letter-bots/?utm_campaign=wp_main&utm_source=twitter&utm_medium=social
In the letter to the company drafted by his legal team, the worlds richest man reiterated concerns that caused him to pause his bid for Twitter weeks ago, claiming Twitter was breaching obligations to turn over any data he deems relevant to the deal. The Tesla CEO now believes Twitter is transparently refusing to comply with the terms they agreed to, which is causing further suspicion that the company is withholding the requested data due to concern for what Mr. Musks own analysis of that data will uncover.
The move adds to speculation that Musk is trying to wriggle free of the agreement, which comes with a $1 billion breakup fee, though his past tweets suggest he may try to get around that cost. Since he first voiced interest in Twitter in April, Teslas stock the source of Musks personal fortune has been pummeled amid a broader pullback for tech stocks. Last week, he said Tesla would cut salaried staff by 10 percent and put a freeze on hiring, telling executives in an email that he had a super bad feeling about where the economy was headed. (Over the weekend, though, he backtracked, saying Teslas total head count would increase while salaried positions would be fairly flat.)
We believe this is much more than a threat, Dan Ives, managing director at Wedbush Securities, told The Post. He is trying to bail out of the deal.
Johnny2X2X
(19,114 posts)This is just cold feet. Twitter's claims were out in the open before Musk got involved. If he didn't trust the numbers he should have never made the offer.
He wants out of the deal, the deal is not happening.
JohnSJ
(92,396 posts)off the deal, but one can imagine the shareholder suits that will be brought against him if he doesn't follow through on the deal
exboyfil
(17,865 posts)but I can understand the mix up.
You are right. I think the $1B is a floor and not the ceiling. Hope they don't buckle and take as much as they can.
JohnSJ
(92,396 posts)LetMyPeopleVote
(145,556 posts)BootinUp
(47,187 posts)Last week when someone claimed Musk was right and twitter was in the wrong. I really want to see Musk pay the 1 billion dollars for reneging.
exboyfil
(17,865 posts)The $1B was for unforeseen things like antitrust refusal. Not for failure to honor the contract.
Initech
(100,102 posts)That seems like a fact worth knowing!
dalton99a
(81,570 posts)https://www.wsj.com/articles/elon-musks-bot-problem-on-twitter-is-extraordinary-11654426800
Initech
(100,102 posts)dalton99a
(81,570 posts)Nevilledog
(51,197 posts)Link to tweet
Texas Attorney General
@TXAG
Today Im investigating Twitter for potentially misleading Texans on the number of its bot users. I have a duty to protect Texans if Twitter is misrepresenting how many accounts are fake to drive up their revenue.
Ken Paxton, Texas Attorney General
texasattorneygeneral.gov
AG Paxton Launches Investigation Against Twitter for Potentially Deceiving Texas Consumers, Texas...
Today Attorney General Ken Paxton launched an investigation against Twitter for potentially false reporting over its fake bot accounts in violation of the Texas Deceptive Trade Practices Act.
12:17 PM · Jun 6, 2022
BootinUp
(47,187 posts)Spew bald face lies by the minute.
moonshinegnomie
(2,487 posts)twitter can sue him for specific performance. basically while his contract says 1B in damages if teh deal fall sthru that really only applies if it fails due to a government block or if something out of the parties control happened to block it. If Musk tries to walk away twitter could sue to force him to buy the company. it would take a while in the courts to work its way thru but there is a very strong chance mush would lose since he basically waived due diligence in his offer.
he could in theory be on the hook for the 1B and still be forced to buy the company...
https://insidesources.com/why-is-elon-musk-afraid-of-specific-performance/
Nevilledog
(51,197 posts)Link to tweet
rat king
@MikeIsaac
·
Jun 6, 2022
Musk continues to try and back out of the deal. Twitter isnt going to let him.
more on the latest with @LaurenSHirsch
https://nytimes.com/2022/06/06/business/elon-musk-twitter.html
Twitter has and will continue to cooperatively share information with Mr. Musk to consummate the transaction in accordance with the terms of the merger agreement. We believe this agreement is in the best interest of all shareholders. We intend to close the transaction and enforce the merger agreement at the agreed price and terms.
rat king
@MikeIsaac
Twitter's General Counsel just sent out a wide email to employees reiterating the company's statement and intent to enforce the deal
(i assume this is because employees were getting tired of reading about every new twist in the press or on twitter itself)
10:00 AM · Jun 6, 2022