• ABOUT
  • CONTACT
  • ALPHA MOTOR
  • APPLE
  • ARRIVAL
  • ATLIS MOTORS
  • BLINK
  • BMW
  • BYD
  • CANOO
  • CATL
  • CHERRY
  • DELOREAN
  • DIDI
  • EVGO
  • FARADAY FUTURE
  • FISKER
  • FORD
  • GEELY
  • GENERAL MOTORS
  • HYUNDAI
  • HYZON
  • KIA
  • LI
  • LUCID
  • MERCEDES
  • MULLEN
  • NIKOLA
  • NIO
  • POLESTAR
  • PONY.AI
  • PORSCHE
  • PROLOGIUM
  • RADAR
  • RIVIAN
  • SAIC
  • SONO MOTORS
  • SONY
  • STELLANTIS
  • TESLA
  • TOYOTA
  • TRITIUM
  • VINFAST
  • VOLKSWAGEN
  • VOLVO
  • WALLBOX
  • WEJO
  • WORKHORSE
  • XIAOMI
  • XPENG
  • ZEEKR
(351) 916192330 info@eletric-vehicles.com
  • TESLA
  • MULLEN
  • NIO
  • POLESTAR
  • RIVIAN
  • LUCID
  • FISKER
  • ABOUT
  • CONTACT
EV EV
EV EV
EV EV
  • TESLA
  • MULLEN
  • NIO
  • POLESTAR
  • RIVIAN
  • LUCID
  • FISKER
  • ABOUT
  • CONTACT
Trending Now
Will be updated soon!
EV EV
  • TESLA
  • MULLEN
  • NIO
  • POLESTAR
  • RIVIAN
  • LUCID
  • FISKER
  • ABOUT
  • CONTACT
Trending Now
Will be updated soon!
EV > TESLA > Elon Musk sends a letter to Twitter saying he wants to terminate the agreement

Elon Musk sends a letter to Twitter saying he wants to terminate the agreement

8th July 2022 4 Min Read Posted by By Cláudio Afonso
Share on
READ NEXT
Elon Musk has a 21.2% stake in Tesla, owning +231 Million shares

Written by Cláudio Afonso | info@claudio-afonso.com | LinkedIn | Twitter

Elon Musk’s lawyer sent Friday a letter to Twitter’s chief legal officer saying he wants to end his agreement to purchase the social media platform in a $44 billion deal.  Twitter’s board chairman Bret Taylor answered on the platform saying the company is “committed to closing the transaction on the price and terms agreed” adding that plans to pursue legal action in the Delaware Court of Chancery. As of the time of writing, Twitter shares are down 6.47% after hours.

The Twitter Board is committed to closing the transaction on the price and terms agreed upon with Mr. Musk and plans to pursue legal action to enforce the merger agreement. We are confident we will prevail in the Delaware Court of Chancery.

— Bret Taylor (@btaylor) July 8, 2022

“We refer to the Agreement and Plan of Merger by and among X Holdings I, Inc., X Holdings II, Inc., and Twitter, Inc. dated as of April 25, 2022 and our letter to you dated as of June 6, 2022. As further described below, Mr. Musk is terminating the Merger Agreement because Twitter is in material breach of multiple provisions of that Agreement, appears to have made false and misleading representations upon which Mr. Musk relied when entering into the Merger Agreement, and is likely to suffer a Company Material Adverse Effect (as that term is defined in the Merger Agreement),” the letter said.

Source: SEC

Twitter acquisition by Tesla’s CEO was seen since the beginning as risky by Tesla shareholders, especially due to Musk’s $6.25 billion loan backed with Tesla stock.

In early June, Musk had asked Twitter for more information on SPAM accounts believing that the social media platform is actively thwarting information rights.. On the form, Musk reiterated his request for certain data needed in order to calculate the evaluation of Twitter’s spam and fake accounts.

Credit: Gary Black (Twitter)

On May 13, Elon Musk tweeted that the $44 billion Twitter deal was “temporarily on hold” due to pending details regarding the percentage of spam/ fake accounts. According to Reuters, Twitter estimated in a filing that false or spam accounts represented fewer than 5% of its monetizable daily active users during the first quarter. The social media company had 229 million users who were served advertising in the first quarter. 

Twitter deal temporarily on hold pending details supporting calculation that spam/fake accounts do indeed represent less than 5% of usershttps://t.co/Y2t0QMuuyn

— Elon Musk (@elonmusk) May 13, 2022

On the same day Musk announced the intention to buy Twitter, Tesla’s CEO was interviewed for TED Vancouver and said: “I’m not sure that I will actually be able to acquire it. And I should also say, the intent is to retain as many shareholders as is allowed by the law. I could technically afford it”. As Tesla’s CEO said various times during the last weeks, removing the fake accounts was one of his priorities when acquiring Twitter.

Written by Cláudio Afonso | info@claudio-afonso.com | LinkedIn | Twitter

BE THE FIRST ONE TO GET THE NEWS

Share on
Share on Facebook Share on Twitter Share on Reddit Share on Telegram
Cláudio Afonso 8th July 2022
Advertisements

You Might Also Enjoy

TESLA

Tesla: Expansion plans of GigaBerlin delayed, report

14th September 2022
TESLA

Argus analyst reiterates Tesla’s Buy Rating following the Stock Split

27th August 2022
TESLA

Tesla to increase FSD price by 25% to $15,000 in early September, Musk says

21st August 2022
LUCIDRIVIANTESLA

Soros dumps Lucid and 2M shares of its biggest holding Rivian, adds Tesla

15th August 2022
TESLA

Tesla gets ready to export nearly 9,000 vehicles from Shanghai setting a new record

12th August 2022
TESLA

Elon Musk sells $6.88B in Tesla shares aiming to close Twitter’s deal at a lower price

10th August 2022
AUTONOMYBMWCANOOFISKERFORDGENERAL MOTORSHYUNDAIKIALUCIDMERCEDESPOLESTARRIVIANSTELLANTISTESLAVINFASTVOLVO

Autonomy orders 23k EVs from Tesla, Polestar, Lucid, Rivian, Volvo, Fisker, and more

9th August 2022
TESLA

Tesla China deliveries drop 64% MoM in July amid shutdowns for upgrades

9th August 2022
Privacy & Cookies: This site uses cookies. By continuing to use this website, you agree to their use.
To find out more, including how to control cookies, see here: Cookie Policy

Be the first one to get the news

Please input your email address. That email is already subscribed. Your address has been added.