Twitter’s account with Elon Musk gets permanently suspended for repeatedly posting misinformation.
“Tesla Chief Executive Officer Elon Musk said on Friday he was terminating his $44 billion deal for Twitter, saying that the social media company had failed to provide information about fake accounts on the platform.
Shares of Twitter fell 6% in extended trading to $34.58.
The stock had zoomed to $51.70 when Musk made his $54.20 offer to buy the social media giant on April 25.
In a filing, Musk’s lawyers said Twitter had failed or refused to respond to multiple requests for information on fake or spam accounts on the platform, which is fundamental to the company’s business performance.
The Friday filing claimed that “Twitter is in material breach of multiple provisions” of the buyout deal,” and that the company “appears to have made false and misleading representations upon which Mr. Musk relied when entering into the Merger Agreement.”