Twitter investor sues Elon Musk in a bid to force through $44 billion takeover

0

It’s not only that’s trying to force Elon Musk to buy the company for $44 billion. An investor filed a proposed class action lawsuit to try stopping Musk from . Luigi Crispo’s suit accuses Musk of breach of contract and breach of fiduciary duty to Twitter’s shareholders, according to . It claims he offered feeble “rationales for reneging on his contract.” Two “corporate acquisition entities” connected to the deal are also named as defendants.

Musk last month attempted to wash his hands of his bid to buy Twitter, claiming the company made “false and misleading representations” and that it misrepresented the number of bots and fake accounts on its platform. Crispo concurred with Twitter’s claims that Musk is using false claims about bots and spam to wriggle out of the deal without a valid legal standing to do so. Also like Twitter, Crispo is seeking a court order that would require Musk to complete the buyout.

After he tried to back out, Twitter in an attempt to make him “honor his obligations” and buy the company. Last week, Musk made a counter filing, which remains sealed for now. A judge granted Twitter’s request for an , which is scheduled to start and last for five days. Its shareholders will vote on the takeover on September 13th.

Meanwhile, Crispo holds 5,500 shares in Twitter. Those are worth nearly $300,000 at the $54.20 per-share to buy Twitter outright back in April. The shares are currently worth $223,000 at Twitter’s current share price, which was $40.55 at the time of writing.

All products recommended by Engadget are selected by our editorial team, independent of our parent company. Some of our stories include affiliate links. If you buy something through one of these links, we may earn an affiliate commission.

FOLLOW us ON GOOGLE NEWS

 

Read original article here

Denial of responsibility! TechCodex is an automatic aggregator of the all world’s media. In each content, the hyperlink to the primary source is specified. All trademarks belong to their rightful owners, all materials to their authors. If you are the owner of the content and do not want us to publish your materials, please contact us by email – [email protected]. The content will be deleted within 24 hours.

Leave a comment

This website uses cookies to improve your experience. We'll assume you're ok with this, but you can opt-out if you wish. Accept Read More