Twitter is pushing again in opposition to billionaire Elon Musk’s allegations that the corporate “hoodwinked” him into signing a $44 billion deal to buy the social media platform.
Musk, who’s making an attempt to again out of the deal, filed a countersuit in opposition to Twitter final week in Delaware’s Court docket of Chancery. In July, Twitter sued Musk to implement the merger settlement and alleged that the billionaire is making an attempt to get out of buying the corporate as a result of his private wealth has fallen and the acquisition has thus change into dearer.
Musk alleges that Twitter failed to offer him data to confirm that fewer than 5% of Twitter’s greater than 220 million each day customers had been spam-focused or faux, an vital metric for understanding Twitter’s advertisements enterprise. The billionaire claims Twitter misrepresented or omitted data that may make clear the corporate’s worth.
In a 127-page authorized submitting in response to Musk’s allegations, Twitter referred to as Musk’s claims “implausible and opposite to reality because it sounds.” Twitter shared the doc publicly in a tweet on Thursday, escalating its authorized feud with the billionaire.
“When Twitter sued to implement its rights and uncovered the weak spot of these causes, Musk spent weeks arising with extra supposed causes — the Counterclaims — which provide up a completely new set of excuses for his breach. The Counterclaims are a made-for-litigation story that’s contradicted by the proof and customary sense,” the legal filing says.
Twitter stated it by no means misled Musk as a result of the corporate had already disclosed there have been limitations to its estimates of spam or faux accounts and that the quantity may very well be larger. Musk claims that the variety of spam or faux accounts is a minimum of 10%, however Twitter stated “Musk will not be measuring the identical factor as Twitter and even utilizing the identical knowledge as Twitter.”
Musk lawyer Mike Ringler did not instantly reply to a request for remark.
Twitter and Musk are anticipated to go to trial on Oct. 17 if they do not attain a settlement. Twitter’s shareholders are scheduled to vote on the deal in a particular assembly on Sept. 13.