Twitter has no intention of letting Tesla creator Elon Musk off the hook simply after he backed out of a $44 billion transaction. In April, the world’s richest man proposed a deal with Twitter, offering to acquire all of the company’s shares for $54.20 apiece. We saw a change in Musk’s sentiments not long after.
What began as a diatribe against bot spam accounts on Twitter turned out to be a deal breaker for Mr. Musk, who appeared to have lost interest in buying Twitter on Friday. Twitter asserts that spam bot accounts make up only 5% of all accounts, while Musk argues the figure is substantially higher.
Twitter will take on Musk.
In the midst of this vortex, Twitter has chosen to sue Elon Musk after his unexpected withdrawal from the contract. According to Reuters, the social media business has recruited US legal firm Wachtell, Lipton, Rosen & Katz LLP with the aim of pushing Elon Musk to complete the $44 billion transaction. Martin Lipton, one of the firm’s founding partners, is credited with creating the ‘poison pill’ defence, which Twitter originally sought to use to avoid Musk’s purchase.
According to reports, Musk will be represented by Quinn Emanuel Urquhart & Sullivan, the same company that defended Elon Musk against British academics Verns Unsworth over Musk’s ‘pedo person’ remark. The corporation also backed Musk after he tweeted about taking Tesla private when he had no intention of doing so.