Twitter says it will sue Elon Musk over termination of company's takeover bid

Twitter will file a lawsuit against American billionaire and entrepreneur Elon Musk to force him to buy the social media company on the agreed terms Bret Taylor Twitters board chair said on SaturdayThe 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 Taylor said in a tweetMusk announced the termination of a USD 44 billion Twitter purchase deal in a letter sent by Musks team to Twitter earlier on Saturday Musk decided to suspend the deal due to multiple breaches of the purchase agreement The Tesla CEOs team strongly believes that the proportion of spam and fake accounts is wildly higher than 5 per cent according to the letterAs further described below Mr Musk is terminating the Merger Agreement because Twitter is in material breach of multiple provisions of that Agreement the letter said on Friday In short Twitter has not provided information that Mr Musk has requested for nearly two months notwithstanding his repeated detailed clarifications intended to simplify Twitters identification collection and disclosure of the most relevant information sought in Mr Musks original requestsIn April Musk reached an acquisition agreement with Twitter at USD 5420 per share in a transaction valued at approximately USD 44 billion However Musk put the deal on hold in May to allow his team to review the veracity of Twitters claim that less than 5 per cent of accounts on the platform are bots or spamBack in June Musk had openly accused the microblogging website of breaching the merger agreement and threatened to walk away and call off the acquisition of the social media company for not providing the data he has requested on spam and fake accountsMusk alleged that Twitter is actively resisting and thwarting his information rights as outlined by the deal CNN reported citing the letter he sent to Twitters head of legal policy and trust Vijaya GaddeThe Tesla CEO demanded that Twitter turn over information about its testing methodologies to support its claims that bots and fake accounts constitute less than 5 per cent of the platforms active user base a figure the company has consistently stated for years in boilerplate public disclosuresAgainst this backdrop Twitters CEO Parag Agrawal last month stood by his companys longtime spam metric Twitter has and will continue to cooperatively share information with Mr Musk to consummate the transaction in accordance with the terms of the merger agreement the company said in a statement in JuneThis story has been sourced from a third party syndicated feed agencies Midday accepts no responsibility or liability for its dependability trustworthiness reliability and data of the text Midday managementmiddaycom reserves the sole right to alter delete or remove without notice the content in its absolute discretion for any reason whatsoever