The saga continues. While the boss of Tesla and SpaceX returned to his position a few days ago, renewing his offer to acquire Twitter at the price agreed a few months ago, it is now the social network that would block the operation.
Stay of trial
The trial was scheduled in ten days. As a reminder, Twitter had filed a complaint against Elon Musk in July, claiming that he could not go back on his commitment to acquire the company.
But a few days ago, Elon Musk renewed his offer to acquire Twitter for $44 billion, or $54.20 per share. He therefore believes that this trial is no longer necessary, and has officially asked the Delaware court to cancel the date of the trial, scheduled for October 17. The court quickly decided to suspend this one until October 28, as noted by the New York Timesthus giving both parties time to close the deal.
In his petition to the court, Elon Musk believed that the transaction should be concluded on or around October 28. Adding that a “trial would keep the merger transaction in limbo longer, casting an unnecessary cloud of uncertainty over the company.”
Twitter doesn’t trust
But Twitter is resisting. “Amazingly, they insisted on continuing this litigation, recklessly putting the agreement at risk and playing with the interests of their shareholders,” said Elon Musk.
When the billionaire renewed his offer through a letter addressed to the management of the social network and to the American authority of the markets (the SEC), Twitter reacted as follows: “The intention of the company is to conclude the transaction at $54.20 per share. »
In his letter, Elon Musk nevertheless specifies that two conditions are necessary for the takeover of the platform; the abandonment of the legal dispute and the obtaining of the necessary financing. The billionaire assumes in his letter to the court this Thursday that “Twitter is resisting a suspension [du litige] based on the theoretical possibility of future failure to obtain debt financing”.
However, he continues, “no failure of this type has occurred to date. On the contrary, the lawyers for the parties to the debt financing have made it known that each of their clients is ready to honor their obligations”.
Twitter has so far declined to respond to our request for comment.
Source: ZDNet.com