Tesla CEO Elon Musk said on local time 8, will terminate the acquisition of Twitter, citing serious violations of a number of terms in the agreement. Musk said that Twitter has not "complied with its contractual obligations.
According to the Washington Post 7, citing sources, the world's richest man, Tesla CEO Musk's $44 billion deal to buy Twitter is in "serious crisis".
For its part, Elon Musk has reportedly been granted access to internal data, but remains suspicious of spam and fake accounts.
The report cites a source as saying that Elon Musk's team may take drastic measures, but the exact direction of action is unknown.
Spam and fake accounts aren't the only reason Musk is trying to pull out of the deal I the report said, and the sharp drop in Twitter's stock price since April could also jeopardize the deal.
However, if Elon Musk opts out of the deal, it could spark a legal battle.
The report also said a spokesman for Twitter declined to comment, but he referred to a statement the company issued in June.
The statement said that "Twitter has worked and will continue to work and share information with Mr. Elon Musk to complete the transaction in accordance with the terms of the agreement" and that "the transaction will be completed at the agreed price and terms.
For now, Elon Musk has not responded to the news.
According to AFP, Twitter shares fell 4% in response to the news that the acquisition was threatening to change.
On April 25, Elon Musk announced a $44 billion acquisition of social networking platform Twitter, but on May 13, he suddenly announced that the acquisition plan was "temporarily on hold" and asked Twitter to release details of the number of spam and fake accounts.