The “undo” button came a lot sooner than expected

Elon Musk announced plans to terminate his $44 billion deal to acquire Twitter on Friday, claiming the company is "in material breach of multiple provisions of that agreement."

💰🐦 A deeper dive… Over the past two months, Musk and his lawyers have repeatedly said Twitter’s longtime estimate that <5% of its monetizable users are bot or spam accounts is inaccurate, and that the company has “failed or refused to provide” relevant information.

• The social media company has denied the billionaire’s claims, saying it supported Musk’s requests in several ways, including explaining the process behind its bot calculations and giving his team access to its “firehose” of data to crunch the numbers themselves.

🤔 What about the exit clause?... In the original deal, Musk agreed to pay a $1 billion breakup fee if the deal falls apart – but that clause is only triggered under certain scenarios, like if his debt financing fell through (it didn’t) or the deal was broken up by regulators (it wasn’t).

👀 Looking ahead… Twitter’s board will move forward with a Delaware lawsuit arguing that Musk has to stick to the agreed-upon deal – and the microblogging site appears to be on sounder legal footing than Musk, corporate law experts told the WSJ.

+In the know: Since Musk’s bid in April, Twitter’s stock has fallen by more than 31%… so there may be other motivating factors besides the bots. (Musk’s personal net worth is also down ~$65 billion over that same period.)