Elon Musk Cancels $44bn Deal to Buy Twitter

Bennett Oghifo with agency report

Elon Musk, owner of Tesla and the world’s richest person yesterday said he was canceling a $44 billion deal to buy Twitter because the social media company failed or refused to respond to multiple requests for information on fake or spam accounts on the platform, which is fundamental to the company’s business performance.

The Twitter Board has, however, said it would challenge Musk’s decision in court and enforce the merger, according to Twitter’s chairman, Bret Taylor. “The Twitter Board is committed to closing the transaction on the price and terms agreed upon with Mr. Musk.”

Regardless, Musk’s lawyers said, “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.”

Musk struck the deal to acquire Twitter in April, this year.