Elon Musk dropped plans to acquire Twitter for $43 billion but faces a battle in Chancery Court.
The chair of Twitter announced the following:
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.
— Bret Taylor (@btaylor) July 8, 2022
Musk earlier received approval from the Twitter board to acquire the company for a reported $44 billion.
Musk, a multi-billionaire who also heads the Space X rocket company and electric carmaker Tesla, planned to be the CEO of Twitter and make major changes at the company whose stock performance has lagged due to lackluster advertising revenues.
Musk had been seeking more detailed information on the user base of Twitter and claimed the company was withholding data needed in making due diligence of the company.
Twitter says it has complied with Musk’s requests.
In the past couple of months technology stocks have taken a beating, leading to speculation that Musk would attempt to acquire Twitter at a reduced price.
