Sun. Nov 24th, 2024

Elon Musk

Elon Musk has offered to proceed with a deal to buy Twitter at the price he offered months ago before trying to call it off, according to a legal filing, a stunning development weeks before the two sides were due to face off in a trial.

A statement by Twitter, Tuesday, said it received a letter from Musk and intends to close the transaction at the original share price offered by his team.

The surprise reversal comes just weeks before the two sides were due in court.

Twitter, had sued the billionaire to force the takeover to move forward, was seen as having the better case.

The back and forth came amid a sharp downturn in the value of technology stocks, including Tesla, the electric car company that Mr Musk leads and is the base of much of his fortune.

The case, which was scheduled to go to trial 17 October, saw the two sides face off in lengthy court filings, private messages and bitter public spats on Twitter.

“On behalf of X Holdings I, Inc., X Holdings II, Inc. and Elon R. Musk (the “Musk Parties”), we write to notify you that the Musk Parties intend to proceed to closing of the transaction contemplated by the April 25, 2022 Merger Agreement, on the terms and subject to the conditions set forth therein and pending receipt of the proceeds of the debt financing contemplated thereby, provided that the Delaware Chancery Court enter an immediate stay of the action, Twitter vs. Musk, et al. (C.A. No. 202-0613-KSJM) (the “Action”) and adjourn the trial and all other proceedings related thereto pending such closing or further order of the Court,” the letter reads.

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