Elon Musk, the richest man in the world, has lost his request for a postponement after a US court ruled that Twitter’s case against him go to trial in October.
When Mr. Musk withdrew from his $44 billion (£36 billion) offer to purchase Twitter earlier in July, the firm decided to sue him.
Twitter is hoping that the court will direct Mr. Musk to finalize the acquisition at the agreed-upon share price of $54.20.
The software tycoon claims that Twitter is hiding information regarding bogus accounts.
Due to the complexity of the case, his legal team requested that the trial start early in 2019, while Twitter requested a September date.
A Delaware court agreed with the business on Tuesday, stating that a trial postponement would create a “fog of uncertainty.”
Kathaleen St Jude McCormick, the chancellor, stated that “delay threatens irreparable harm.” “The risk increases with the length of the wait.”
Prior to the proposed merger, Mr. Musk was charged with a “large list” of breaches, according to the complaint, and it was claimed that he “cast a cloud” over the business.
Twitter’s main attorney William Savitt stated at the hearing on Tuesday that the lingering uncertainty over whether the merger would proceed or not “inflicts injury on Twitter everyday.”
According to Mr. Savitt, “Musk has been and will continue to be contractually required to utilize his best efforts to conclude the acquisition.” “He is doing the complete opposite. This is sabotage.”
Mr. Musk’s attorney, Andrew Rossman, contended that he continues to be one of Twitter’s largest stockholders. According to him, the trial should take place the next year on a “reasonable” schedule that would provide both parties ample time to prepare.
Since Mr. Musk started raising concerns about the volume of spam and phony accounts on Twitter’s platform in May, the stock price of the firm has dropped from highs of $50 per share.
The company’s shares are now trading for roughly $39.45, far less than the $54.20 per share it intends to consummate the merger at.
As a self-described “free speech absolutist,” Mr. Musk has pledged to relax content restrictions if he were to acquire the business.
Additionally, he demanded that the business be more transparent about how tweets are pushed to wider audiences and how they are presented to users.