The Delaware Court of Chancery has given billionaire Elon Musk a 22-day deadline to buy Twitter.
This comes after the richest man in the world reversed his decision to cancel the acquisition transaction following a long tussle which led into a lawsuit by Twitter.
Musk chose to get back to the negotiation table with Twitter to avoid going for trial, which was originally scheduled for October 17. The court therefore gave him up to October 28 to complete the $44 billion deal.
The deal run into a roadblock because Musk raised concerns about 5% of Twitter accounts being fake, plus Twitter hiding vital information from him before he agreed to buy the social media platform.
Twitter has since refuted Musk’s allegations and is set to use a lawsuit to compel him to acquire the company at the at the original price of $44 million.
On Thursday, during a court hearing, Musk asked that Twitter drop the initial lawsuit scheduled for October 17 to enable him raise money and meet the deadline, but the social media company said it would keep the litigation alive until the deal was concluded.
The billionaire, int a filing, explained that Twitter’s decision to continue with the litigation was “recklessly putting the deal at risk and gambling with their stockholders’ interests.”
Musk’s lawyers said, “By far the most likely possibility is that the debt is funded in which case the deal will close on or around October 28.”
They added that “counsel for the debt financing parties has advised that each of their clients is prepared to honour its obligations under the Bank Debt Commitment Letter on the terms and subject to satisfaction of the conditions set forth therein.”
