Twitter does not want Elon Musk‘s offer to sell it, but Elon isn’t having the transfer made.
Twitter’s legal representatives hit back in a letter to Musk’s lawyers Sunday, calling the billionaire’s claims “invalid” and demanding that Musk follow through with the takeover. “Mr. Musk’s and the other Musk Parties’ purported termination is invalid and wrongful, and it constitutes a repudiation of their obligations under the Agreement,” reads the letter, which was signed William Savit, a lawyer at Wachtell, Rosen, Lipton and Katz, which is representing Twitter purchase in the dispute. The letter was disclosed in a regulatory filing Monday.
Musk, who has expressed concerns for weeks about the number of bots and spam accounts on Twitter without any apparent evidence to support his claims, accused the company in a letter posted Friday of failing to provide him with sufficient data to evaluate the issue.
In its Monday reaction, the Twitter group said that, “Twitter has penetrated none of its commitments,” and asserted rather that Musk has “purposely, deliberately, persistently, and substantially penetrated the Agreement.” It added that Twitter has and will proceed to “give data sensibly mentioned” by Musk to close the exchange.
“The Agreement isn’t ended, the Bank Debt Commitment Letter and the Equity Commitment Letter stay as a result, and Twitter requests that Mr. Musk and the other Musk Parties follow their commitments under the Agreement,” the letter states.
Except if Musk withdraws or a settlement is reached, the debate shows up practically 100% to wind up in court. Following Musk’s declaration that he needed to leave the arrangement, Twitter load up seat Bret Taylor said in a tweet Friday that the load up is “focused on shutting the exchange based on the cost and conditions settled upon with Mr. Musk and plans to seek after lawful activity to implement the consolidation understanding.”
“We are certain we will win in the Delaware Court of Chancery,” Taylor added. It doesn’t create the impression that a proper suit has yet been recorded.
In the interim, Twitter (TWTR) stock failed on the insight about the debate, shutting down over 11% on Monday — almost 40% beneath Musk’s arrangement cost, proposing profound suspicion about the arrangement going through. Numerous experts have proposed that Musk might be attempting to involve the bot issue as a guise to escape an arrangement that seems overrated considering the new market slump. Tesla (TSLA) shares, which Musk is wanting to use to some degree to back the arrangement, have additionally fallen lately.