July 12, 2022
2 mins read

Twitter shares slump amid Musk’s walkout

On Saturday, Twitter announced it was going to sue the Tesla CEO….reports Asian Lite News

Shares of microblogging site Twitter fell about 6 per cent in premarket trading on Monday, amid the recent walkout by Elon Musk.

The world’s richest person on Friday terminated the $44 billion deal to buy Twitter, stating that the company was in “material breach” of their agreement and had made “false and misleading” statements during negotiations.

On Saturday, Twitter announced it was going to sue the Tesla CEO.

The “board is committed to closing the transaction on the price and terms agreed upon with Musk and plans to pursue legal action to enforce the merger agreement”, Twitter Chairman Bret Taylor said in a tweet.

“We are confident we will prevail in the Delaware Court of Chancery,” he added.

In reply, Musk on Monday poked fun at Twitter and shared a meme.

Musk’s meme read: “They said I could not buy Twitter. Then they would not disclose the bot information. Now they want to force me to buy Twitter in court. Now they have to disclose the bot information in court.”

Musk will also have to pay $1 billion in termination fees to the micro-blogging platform, as per an earlier filing with the US Securities and Exchange Commission (SEC).

Musk had put the deal on hold over the actual number of spam/fake accounts and bots on the platform, and sought a reply from Twitter CEO Parag Agrawal.

On Thursday, Twitter claimed it is suspending more than 1 million spam accounts a day.

“That is indeed the real question,” Musk replied on Friday.

The new figure doubled the previous update from Agrawal who said that the platform removes 500,000 spam accounts a day.

“We suspend over half a million spam accounts every day, usually before any of you even see them on Twitter. We also lock millions of accounts each week that we suspect may be spam — if they can’t pass human verification challenges (captchas, phone verification, etc),” Agrawal had tweeted in May.

Musk will have to pay $1 billion in termination fees to the micro-blogging platform.

As per an earlier filing with the US Securities and Exchange Commission (SEC), “Musk will be required to pay Twitter a termination fee of $1 billion”, if he cancels the deal.

ALSO READ: ‘Uber flouted laws, secretly lobbied govts during global expansion’

Previous Story

India to surpass China as world’s most populous country in 2023

Next Story

Decriminalisation of certain sections of Indian Forest Act proposed

Previous Story

India to surpass China as world’s most populous country in 2023

Next Story

Decriminalisation of certain sections of Indian Forest Act proposed

Latest from Business

Ambani’s Jio launches $3.2bn share sale in India

Jio Platforms, the digital and telecommunications business controlled by Mukesh Ambani’s Reliance Industries, has launched a $3.2 billion initial public offering, expected to become India’s largest share sale. The offering comes amid

Cyber Chiefs Urge Urgent PHP Security Update

Cybersecurity agencies in the UK, EU and Australia have warned organisations to install critical PHP security fixes immediately or consider taking vulnerable websites offline amid reports of emerging attacks, reports Asianlite News

UK firms land £330m Africa deals

British exporters are set to benefit from more than £330 million in contracts for schools, water, electricity and government infrastructure projects in Guinea and Benin…reports Africa Daily News Desk British businesses are

US Bans DeepSeek from Government Systems

Washington has barred Chinese AI technology from civilian government agencies, citing wider concerns over security and competition as the US seeks to maintain its lead in artificial intelligence, reports Asianlite News Desk.
Go toTop

Don't Miss

Twitter, Facebook likely to be blocked in India

Sources said the failure of social media companies to make

MUSK MAKES THE MOVE

The explosion of tech wealth in recent years has brought