- Musk has been asking Twitter for information related to their process of identifying & suspending spam accounts and the data to verify this since May 9
- Twitter hasn't provided the required data, only providing samples/tiptoeing around it
- Twitter's ongoing refusal to provide info that Musk requested breaches the Merger Agreement
- They were notified of this breach over a month ago meaning the cure period in the agreement has passed
- Musk, therefore, exercises his right to abandon the merger agreement
- Twitter also breaches the merger agreement because their public statements contain inaccurate representations (% of spam accounts <5% which based on Musk's analysis based on the incomplete data is wildly higher than 5%)
Been reading about the Luckin Coffee saga which is just incredible.
A short thread 👇
For background, Luckin Coffee was started in 2017, and within 2 years had 5000 coffee stores in China, opening a new store every 3-4 hours at one point.
It went public on the NASDAQ in May 2019, less than 2 years after founding and its stock doubled within six months of its IPO.
Then, in January 2020, an 89-page anonymous report was published which accused the company of fraud.
The authors hired 1500 people (!) to record 11,000+ hours of store traffic data and collected and analyzed 20,000+ customer receipts.