Elon Musk threatens to call off Twitter deal, accused company of hiding data: Report
Washington, Jun 06: Elon Musk has threatened to walk away from his $44 billion deal to acquire Twitter Inc if the social media network fails to provide data on spam and fake accounts, the Tesla CEO warned in a letter to the company on Monday.
"Musk's legal team claims in a letter that Twitter has failed to provide him with information on the service's spam bot problem and that he's entitled to receive that information under the deal agreement," according to a report in The Verge.
"Musk believes the company is actively resisting and thwarting his information rights (and the company's corresponding obligations) under the merger agreement," the lawyers write, the report said.
The letter said Twitter was in a "clear material breach" of its obligations and that Musk reserves all rights to terminate the merger agreement
The letter says Musk could choose "not to consummate the transaction" because of the alleged breach of contract.
Last month, Musk put his $44-billion deal for Twitter Inc was temporarily on hold, citing pending details on spam and fake accounts.
"Twitter deal temporarily on hold pending details supporting calculation that spam/fake accounts do indeed represent less than 5% of users," Musk said in a tweet.