Is Elon Musk Backing Out Of Buying Twitter?

Is Elon Musk Backing Out Of Buying Twitter?
Credit: Bloomberg

Elon Musk possibly buying Twitter has been one of the biggest news for social media users lately. There has been widespread speculation about what kind of changes the billionaire would be bringing to the social media platform once he has acquired it with some going as far as to speculate that Elon Musk would delete Twitter altogether and start a new social media platform of his own.

Now it seems all the speculation is about to be put on pause, because according to recent reports Elon may be attempting to back out of the Twitter purchase deal.

Reports say that on July 8th, Elon sent a letter to Twitter, in which he claims that Twitter has given the billionaire "incomplete or unusable information" which is why, at least at the moment and until these issues are resolved, Elon will not be going ahead with the purchase. The purchase of the social media platform was reportedly going to cost roughly $44 billion.

Reports say that Elon has expressed 3 primary areas of concerns that need to be addressed before he can proceed with his acquisition of Twitter; fake accounts which are present in an alarmingly large number, debt financing, and Twitter shareholder approval.

There have been reports that some Twitter shareholders are not happy with how the purchase is being handled and have already sued both Elon and Twitter. It isn't exactly a surprise that such an unstable situation would change Elon's mind about going through with the deal.

However, according to Reports, the Twitter board is not happy with Elon's letter and plan to take the billionaire to court to ensure that the deal is closed on the agreed upon terms and conditions.

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"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," - said chairman of the Board, Twitter, Bret Taylor. How Elon Musk responds to the statement remains to be seen.

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