Twitter is raging against Elon Musk over Twitter’s refusal to reveal more information about its users. The billionaire Tesla owner is now considering whether to pull out of the $41.4 million deal.
“This is clearly a material breach of Twitter’s obligations under the merger arrangement and Mr. Musk retains all rights resulting from it,” a letter to the Securities and Exchange Commission Monday stated.
Musk’s lawyers argue in the document that Twitter has not fulfilled the requirements of the merger agreement. Musk would be entitled to request and obligate Twitter to fulfill “any reasonable business purpose” related to the completion of the transaction.
According to the letter, Twitter had only limited information about its users and its “latest offer” contained only information about its testing methods.
Musk previously stated that he was placing the deal “on hold”, as he checked to confirm reports that less that 5% of Twitter accounts were spammy or fake.
“At this point Mr. Musk believes Twitter has transparently refused to comply with its obligations pursuant to the merger agreement. This is further leading to suspicion that the company withholds the requested data out of concern for what Mr. Musk will uncover,” the letter states.
