musk: Twitter sues Elon Musk as he walks out of USD44 billion deal
The lawsuit, filed in the Delaware Court of Chancery this week, comes after the Tesla and SpaceX CEO said that he wants to terminate the USD44 billion acquisition agreement.
"In April 2022, Elon Musk entered into a binding merger agreement with Twitter, promising to use his best efforts to get the deal done. Now, less than three months later, Musk refuses to honour his obligations to Twitter and its stockholders because the deal he signed no longer serves his personal interests," the complaint reads.
"Musk apparently believes that he -- unlike every other party subject to Delaware contract law -- is free to change his mind, trash the company, disrupt its operations, destroy stockholder value, and walk away," it added.
"Oh the irony lol," Musk tweeted Shortly after news of the suit was filed.
Last week, Musk officially pulled out of his USD44 billion agreement to purchase the micro-blogging site.
In a filing on Friday afternoon with the US Securities and Exchange Commission (Sec), Musk's team claimed he is terminating the deal because Twitter was in "material breach" of their agreement and had made "false and misleading" statements during negotiations.
A recent report indicated that Twitter lawyers from Wachtell, Lipton, Rosen & Katz law firms were preparing for a long-drawn court battle after Musk filed paperwork with the US SEC to exit the acquisition deal.
Meanwhile, shares of the micro-blogging site fell about 6 per cent in premarket trading on Monday, amid the recent walkout by Musk.
( Details and picture courtesy from Source, the content is auto-generated from RSS feed.)
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