Elon Musk Announces He's 'Terminating' His Twitter Acquisition, Company Says They Will 'Pursue Legal Action'

It looks like Elon Musk won’t be acquiring Twitter after all.

On Friday (July 8), the 51-year-old Tesla CEO announced that he would be “terminating” his proposed deal to buy the social media company, writing in a letter that the company was in “breach” of their merger agreement.

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According to his letter, Elon dropped out of the deal “because Twitter is in material breach of multiple provisions of that Agreement, appears to have made false and misleading representations upon which Mr. Musk relied when entering into the Merger Agreement, and is likely to suffer a Company Material Adverse Effect (as that term is defined in the Merger Agreement).”

He went on to say that Twitter did not provide enough information about the bot and spam accounts on the platform, nor did they give Elon and his team enough data for their own investigation. He had previously highlighted the issue in a separate letter published in June.

“In short, Twitter has not provided information that Mr. Musk has requested for nearly two months notwithstanding his repeated, detailed clarifications intended to simplify Twitter’s identification, collection, and disclosure of the most relevant information sought in Mr. Musk’s original requests,” the statement continued. “While Twitter has provided some information, that information has come with strings attached, use limitations or other artificial formatting features, which has rendered some of the information minimally useful to Mr. Musk and his advisors.”

Elon also claimed that some decisions – including key executive departures, layoffs and a hiring freeze – were made without his input, which he said is also a breach of their deal.

Twitter responded by saying they plan to pursue legal action against Elon to ensure the deal is completed.

“The Twitter Board is committed to closing the transaction on the price and terms agreed upon with Mr. Musk and plans to pursue legal action to encore the merger agreement. We are confident we will prevail in the Delaware Court of Chancery,” Bret Taylor, chair of Twitter’s board tweeted.

Earlier this month, it was reported that Elon had welcomed twins with a top Tesla executive weeks before his second child with his ex Grimes was born.