Loading...

Musk Backs Out of Twitter Deal

July 8, 2022 by Madeline Hughes
Musk Backs Out of Twitter Deal
Elon Musk, founder and CEO of SpaceX, participates in a press conference at the Kennedy Space Center on May 27, 2020, in Cape Canaveral, Florida. (Associated Press)

WASHINGTON — Elon Musk is officially pulling out of his $44 billion bid to buy Twitter, according to a letter his lawyer sent to the Securities and Exchange Commission Friday. 

According to his letter, Musk is backing out because Twitter did not provide accurate user data.

“Twitter has not provided information that Mr. Musk has requested for nearly two months notwithstanding his repeated, detailed clarifications intended to simplify Twitter’s identification, collection, and disclosure of the most relevant information sought in Mr. Musk’s original requests,” his lawyer wrote. “While Twitter has provided some information, that information has come with strings attached, use limitations or other artificial formatting features, which has rendered some of the information minimally useful to Mr. Musk and his advisors.”

Musk started his quest to buy Twitter this spring, buying up a large share of the company’s stock. He announced owning a 9% stake in the company through SEC filings in April.

Twitter’s board enacted a “poison pill” defense to thwart a hostile takeover from Musk, but he then came to an agreement to buy the company and take it private. 

The chair of Twitter’s board, Bret Taylor, tweeted Friday that the 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.”

Twitter could have pushed for a $1 billion breakup fee Musk agreed to pay under these circumstances. Instead, it looks ready to fight over the deal, which the company’s board has approved and CEO Parag Agrawal has insisted he wants to consummate.

Madeline can be reached at maddie@thewellnews.com and @MadelineHughes

In The News

Health

Voting

Business

US Case Against American Airlines and JetBlue Heads to Court

DALLAS (AP) — The government's antitrust lawsuit against American Airlines and JetBlue begins Tuesday and the outcome could determine how... Read More

DALLAS (AP) — The government's antitrust lawsuit against American Airlines and JetBlue begins Tuesday and the outcome could determine how closely the Biden administration examines other airline deals, including JetBlue's pending attempt to buy Spirit Airlines. The Justice Department and six states are suing American and... Read More

September 26, 2022
by Tom Ramstack
Boeing to Pay $200M After Fraud Accusations

WASHINGTON — Boeing Co. agreed last week to pay $200 million in fines to settle Securities and Exchange Commission allegations... Read More

WASHINGTON — Boeing Co. agreed last week to pay $200 million in fines to settle Securities and Exchange Commission allegations that it deceived investors about the safety of the 737 Max airliner after two deadly crashes. Company executives told investors the airplane complied with Federal Aviation... Read More

US Sen. Warnock: Electric Car Tax Credit Needs 'Flexibility'

SAVANNAH, Ga. (AP) — U.S. Sen. Raphael Warnock, D, Ga., urged the U.S. Treasury secretary Friday to use “maximum flexibility”... Read More

SAVANNAH, Ga. (AP) — U.S. Sen. Raphael Warnock, D, Ga., urged the U.S. Treasury secretary Friday to use “maximum flexibility” in implementing a revised tax credit for Americans buying electric vehicles, a perk that Hyundai stands to lose as the automaker invests billions of dollars to... Read More

'Art of the Steal': Trump Accused of Vast Fraud in NY Suit

NEW YORK (AP) — Former President Donald Trump padded his net worth by billions of dollars and habitually misled banks... Read More

NEW YORK (AP) — Former President Donald Trump padded his net worth by billions of dollars and habitually misled banks and others about the value of prized assets like golf courses, hotels and his Mar-a-Lago estate, New York’s attorney general said Wednesday in a lawsuit that... Read More

September 19, 2022
by TWN Staff
Family Dollar Initiates Voluntary Recall of Colgate Products

CHARLOTTE, N.C. — Family Dollar is initiating a voluntary product recall of Colgate mouthwash and toothpaste that were shipped and... Read More

CHARLOTTE, N.C. — Family Dollar is initiating a voluntary product recall of Colgate mouthwash and toothpaste that were shipped and stored in multiple states outside of the products’ labeled temperature requirements. All of the products are subject to Food and Drug Administration regulation and were shipped... Read More

September 15, 2022
by Dan McCue
Biden Calls Tentative Railway Deal ‘A Big Win for America’

WASHINGTON — President Joe Biden made a last-minute addition to his public schedule on Thursday, inviting railroad and union leaders... Read More

WASHINGTON — President Joe Biden made a last-minute addition to his public schedule on Thursday, inviting railroad and union leaders to the White House to celebrate their averting a nationwide strike that could have crippled the U.S. economy. Many of those invited to the Oval Office... Read More

News From The Well