US Court Gives Elon Musk 22 Days Ultimatum to Close Twitter Deal
TECHDIGEST – After the richest man in the world reversed his decision to cancel the acquisition transaction, Delaware’s Court of Chancery has set a deadline for Elon Musk to buy Twitter.
If Musk wants to avoid going to trial, which was originally scheduled for October 17 before the billionaire agreed to buy the company, the US court gave him 22 days to complete the $44 billion accord.
Responded with a lawsuit to compel the acquisition at the original price, and also refuted the allegations made by Tesla’s main shareholder, sticking by the company’s report that less than 5% of accounts were false.
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Musk requested that Twitter withdraw the initial case set for October 17 during a court hearing on Thursday, but the social media company responded
On Thursday, during a court hearing, Musk asked that Twitter drop the initial lawsuit scheduled for October 17, but the social media company said it would keep the litigation alive until the deal was concluded.
Musk had made the request stating that the lawsuit should be stepped down to enable him raise the needed capital for the acquisition ahead of the October 28 deadline.
The billionaire, in a filing, explained that Twitter’s decision to continue with the litigation was“recklessly putting the deal at risk and gambling with their stockholders’ interests.”
Musk’s lawyers said, “By far the most likely possibility is that the debt is funded in which case the deal will close on or around October 28.”
Adding that “counsel for the debt financing parties has advised that each of their clients is prepared to honor its obligations under the Bank Debt Commitment Letter on the terms and subject to satisfaction of the conditions set forth therein.”
