In a lawsuit filed in the Delaware Court of Chancery, the Orlando Police Pension Fund said that under Delaware law, Musk cannot complete the buyout until at least 2025, unless holders of the two-thirds of the shares he does not “own” do not approve.
According to the lawsuit, Musk became an “interested shareholder” after taking a more than 9% stake in Twitter, which necessitates this delay.
Musk also runs the electric car company Tesla Inc and is the richest person in the world according to Forbes magazine.
Twitter and its board, including chief executive Parag Agrawal, are also defended.
The lawsuit seeks to delay the merger’s closing until at least 2025, declare Twitter’s directors breached their fiduciary duties, and recover legal fees and costs.
Twitter declined to comment. A lawyer for Musk did not immediately respond to a request for comment.
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