Twitter Investor Relations Service mentionedwhich received a letter from Musk’s representatives: They submitted a statement to the US Securities and Exchange Commission about their intention to close the transaction with Twitter.
The deal is proposed to close at $54.20 per share, the same terms Musk offered in April.
Elon Musk and Twitter have been arguing for months over a deal to buy the social network. However, the businessman changed his mind almost two weeks before the court was due to consider the case, which was set for October 17.
Business law professor Ann Lipton noted that this was the most anticipated end of the case. Musk’s decision shows that Twitter has a really strong position.
“The only amazing thing is that [Маску] Failed to take the dollar out of the transaction price“, I noticed.
On the other hand, if the court orders Musk to close the deal, he may have to pay interest as well.
At the end of April, Elon Musk concluded an agreement to buy the social network Twitter: for approximately $ 44 billion, the entrepreneur was to become the owner of Twitter, and the company would become private.
However, in July, Musk announced the termination of the contract, accusing Twitter of violating several contractual obligations. According to his lawyer, the company did not provide the businessman with the relevant business information that he requested.
Elon Musk has made it clear that he is delaying the Twitter purchase until the company proves that spambots make up no more than 5% of the social network’s 200 million users.
At the time, Twitter sued Musk, saying his exit strategy was an “example of hypocrisy.” Twitter seeks to force the businessman to fulfill the obligations of their agreement through the courts. But Elon Musk has filed a counterclaim, accusing Twitter of data fraud, which the businessman’s lawsuit says should allow him to back out of the signed deal.
In an effort to back out of the deal, Musk invited the Twitter CEO for a “public discussion” about bots on the social network.