Elon Musk is the CEO of Tesla, and also the richest man in the world. He announced on Friday that he would end his $44 Billion deal to purchase Twitter. The reason for this was because Twitter failed to disclose information about fake accounts.
Twitter shares fell 7% during extended trading. Musk offered $54.20 per Share in April.
Twitter Chairman Bret Taylo, stated that Twitter would pursue legal action against the company to enforce its merger agreement.
He wrote that the Twitter Board was committed to closing the transaction according to the terms and price agreed on with Mr. Musk …,”.
Musk’s attorneys filed a statement stating that Twitter failed to or refused multiple requests to provide information about fake accounts or spam accounts. This is crucial to the company’s business performance.