SEC questions Musk's tweet regarding Twitter acquisition

US Securities and Exchange Commission (SEC) has asked Elon Musk for more information on a tweet related to his $44 billion deal to take over Twitter Inc (NYSE: TWTR), which he terminated last week.

An SEC filing on Thursday showed Musk’s lawyer and a Skadden partner, Mike Ringler, in a letter to the market regulators dated June 7, responding to questions the SEC’s Office of Mergers and Acquisitions sent a few days earlier.

The letter clarified the explanation the SEC sought from Tesla Inc (NASDAQ: TSLA) CEO Musk, including whether an earlier filing should be amended based on the billionaire’s tweet that the Twitter deal “cannot move forward” until the company provides more information on its spam accounts.

“The term ‘cannot’ suggests that Mr Musk and his affiliates are exercising a legal right under the terms of the merger agreement to suspend completion of the acquisition of Twitter or otherwise do not intend to complete the acquisition,” the SEC wrote, according to the filing.