The deal was already in uncertain territory after Musk’s demanded more information on the percentage of spam accounts on the platform.
And now, The Washington Post broke a story that Elon Musk’s $44 billion bid to acquire Twitter appears to be in jeopardy due to his inability to verify the company’s claims about spam bots.
Musk’s legal team has stopped engaging in discussions with investors after receiving access to Twitter’s internal data, according to the Washington Post. These pauses in dialogue appear to coincide with Musk’s team doubting Twitter’s 5% estimate regarding spam bots on the platform, according to people involved in the matter.
Musk’s team has concluded that it cannot verify the company’s claims about spam bots, according to one person involved in the matter, and may take drastic action soon. The person was unable to confirm what that action may be.
UPDATE: New reports are coming in that SpaceX and Tesla CEO Elon Musk is Terminating his $44 billion buyout of Twitter due to alleged lies about the number of bots, spam accounts, and other issues.
#BREAKING: Elon Musk is terminating his deal to buy Twitter, according to a letter sent to the company pic.twitter.com/FMwlcYFqys
— Joel Franco (@OfficialJoelF) July 8, 2022
More details of this BREAKING NEWS from The Daily Caller:
Tesla CEO Elon Musk canceled his bid to purchase Twitter Friday, according to a letter from his lawyers published in a Securities and Exchange Commission filing.
Twitter “appears to have made false and misleading representations” and “has not complied with its contractual obligations,” according to the letter. Mike Ringler, attorney for Skadden Arps, accused the company of refusing to provide information requested by Musk, including what percent of its monetizable users were fake or spam accounts.
Sources: DailyWire, The Wall Street Journal, The Washington Post, Daily Caller