Musk team stated that many times required Twitter to provide information about false or junk accounts, but Twitter did not fulfill his obligations, did not respond or rejected the requirements.However, some analysts said that Musk may be regrettable because Twitter's stock price is far lower than the purchase price.
(San Francisco / Washington Composite Electric) the world's richest man and Tesla President Musk terminated the acquisition of Twitter's US $ 44 billion (about S $ 61.5 billion), the reason is that the Twitter violated many of the merger agreement.Terms, including "misleading" statements of the number of garbage accounts.Twitter board of directors stated that legal actions were adopted to enforce the consolidated agreement.
Musk's lawyer submitted documents on Friday (8th) to the US Securities and Exchange Commission that Musk's team repeatedly asked Twitter to provide information about false or junk accounts, because this information is crucialTwitter did not fulfill his obligations, did not respond or rejected the request.
Twitter insists that the proportion of false or trash accounts is less than 5%, but Musk believes that the actual number is much higher than this, and it is necessary to show the evidence to prove that what is true.
Musk pointed out that Twitter did not follow the consolidated agreement and sought his consent before firing two senior executives.He also pointed out that one -third of the Twitter's dismissal of the recruitment group of Twitter violated the obligation to "maintain the important part of the important part of the existing business structure".
After the news of Musk's termination of Twitter, the chairman of the Twitter Board of Directors Taylor issued a tweet that Twitter was preparing to resort to legal actions to ensure that "the merger agreement reached with Mr. Musk"The board of directors was confident to win the law in the Tellahua court.
Musk reached an agreement with Twitter at the end of April, and plans to acquire this social media giant at $ 54.20 per share, with a total transaction value of $ 44 billion.According to the agreement, if Musk terminates the transaction, it must pay a $ 1 billion liquidated damage.
Whether Musk's retreat will attract legal wars.Judicial experts pointed out that in the previous mergers and acquisitions of the Tellahua court, in order to avoid the lengthy and complicated lawsuits, the acquisition of the acquisition often chose to re -negotiate the consolidated agreement, accept the lower acquisition price, or accept the acquirer’sMoney compensation.
Badawei, a professor of law at the University of California Berkeley, said: "It is very expensive to fight a lawsuit, and it may not be worth it.
Pushing Twitter hopes to start within a few weeks of the lawsuit
A person familiar with the matter revealed that Twitter hoped that the lawsuit procedure could start within a few weeks and ended within a few months.
There are many precedents for re -negotiating the merger and acquisition agreement. Since the outbreak of the crown disease in 2020 and caused the global economic shock, there have been multiple acquisitions to adjust the transaction price.For example, after the French luxury giant LVMH said that after buying the American jewelry brand Tiffany, the latter agreed to cost less than $ 425 million to reduce the acquisition price to $ 15.8 billion.
Musk announced in mid -May that it would suspend the acquisition of Twitter.U.S. Investment Research Agency CFRA Research high -level stock analyst Ji Nuo issued a report before the acquisition case, stating that Musk changed his mind because of the purchase price of $ 54.20 per share, and now it looks "ridiculous".Twitter's closed market price was $ 36.81.
