Elon Musk said he intends to terminate the merger agreement deal for $44bn of buying Twitter, due to Twitter’s refusal to provide data and information he needs.
It was earlier reported that, the Twitter board has recommended unanimously that shareholders approve the proposed $44 billion sales of the company to the billionaire, according to a regulatory filing on Tuesday 21 June.
Meanwhile, a letter sent on Friday by a lawyer on Musk’s behalf to Twitter’s chief legal officer.
Says “While Section 6.4 of the Merger Agreement requires Twitter to provide Mr Musk and his advisors all data and information that Mr Musk requests “for any reasonable business purpose related to the consummation of the transaction,” Twitter has not complied with its contractual obligations.
“This information is fundamental to Twitter’s business and financial performance and is necessary to consummate the transactions contemplated by the Merger Agreement because it is needed to ensure Twitter’s satisfaction of the conditions to closing, to facilitate Mr Musk’s financing and financial planning for the transaction, and to engage in transition planning for the business.
“Twitter has failed or refused to provide this information. Sometimes Twitter has ignored Mr Musk’s requests, sometimes it has rejected them for reasons that appear to be unjustified, and sometimes it has claimed to comply while giving Mr Musk incomplete or unusable information,” part of the letter read.