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Twitter subpoenas information about elite Silicon Valley investors close to Elon Musk

Twitter has filed a series of legal requests seeking information about a slew of elite Silicon Valley investors in Elon Musk’s inner circle, as the company continues its lawsuit to force the billionaire to complete its $44 billion acquisition.

In a subpoena issued on Monday, Twitter requested information about many members of Musk’s inner circle, including some who had not previously been reported to have had any involvement in the deal, according to the report. Washington Post.

The request named investors Chamath Palihapitiya, David Sacks, Steve Jurvetson, Marc Andreessen, Jason Calacanis and Keith Rabois.

Investor Joe Lonsdale, an employee of Musk, said on Twitter that he had also received a subpoena from the social media company.

Lonsdale said he had nothing to do with the deal other than making “a few snarky comments” and called the legal investigation a “huge intimidating fishing expedition.”

The individuals named in the subpoenas may be forced to testify in court as Twitter’s lawsuit goes to trial in October.

Twitter has made a series of legal requests seeking information about a slew of elite Silicon Valley investors in Elon Musk's inner circle.

Twitter has made a series of legal requests seeking information about a slew of elite Silicon Valley investors in Elon Musk’s inner circle.

Marc Andreessen

Jason Calacanis

Investors Marc Andreessen (left) and Jason Calacanis (right) were named in new subpoenas from Twitter. It was previously reported that they were involved in financing Musk’s bid

Chamath Palihapitiya is a prominent venture capitalist with an estimated net worth of $1.2 billion.  His connection to the Twitter deal is unclear

Chamath Palihapitiya is a prominent venture capitalist with an estimated net worth of $1.2 billion. His connection to the Twitter deal is unclear

Analysts said Twitter is likely trying to find evidence that Musk made private statements that contradicted his public position that the company’s problems with fake accounts made the acquisition untenable.

For example, if Musk hypothetically downplayed the bot issue when he sought financial backing for the deal, or revealed to confidants that he had other reasons to abolish the acquisition, it could bolster Twitter’s case.

A Twitter spokesperson declined to comment on the subpoenas when reached by DailyMail.com on Tuesday morning.

Calacanis and Andreesen were previously known to be involved in the financing aspects of the deal.

This spring, Calacanis launched an investment pool known as a dedicated vehicle to raise money from smaller investors with a minimum buy-in of $250,000 in support of Musk’s offer.

Sacks and Jurvetson are members of Musk’s inner circle who reportedly advised the billionaire as he pursued the Twitter deal in the spring.

David Sacks

Steve Jurvetson

Sacks (left) and Jurvetson (right) are members of Musk’s inner circle who reportedly advised the billionaire as he pursued the Twitter deal in the spring

Keith Rabois is another early PayPal executive who worked there with Musk.  His connection to the Twitter deal is unclear

Keith Rabois is another early PayPal executive who worked there with Musk. His connection to the Twitter deal is unclear

Silicon Valley’s elite targeted by Twitter’s latest subpoenas

Chamath Palihapitiya: A prominent venture capitalist with an estimated net worth of $1.2 billion. His connection to the deal is unclear, but he attended the All-In Summit in May with other Musk backers.

David Zakken: Sacks is a member of the so-called PayPal mafia that helped set up the payment startup with Musk in the late 1990s. He would be a key advisor in Musk’s inner circle when the takeover bid unfolded this spring.

Steve Jurvetson: Another Musk member reported “brain trust” advising the billionaire. Jurvetson was an early investor in Tesla, where Musk is CEO. He was once a member of the Tesla board and currently serves on the board of Musk’s SpaceX.

Marc Andreessen: A Silicon Valley titan with an estimated $1.6 billion worth and co-founder of VC firm Andreessen Horowitz, who agreed to invest $400 million in Musk’s acquisition deal.

Jason Calacanis: Also previously reported as involved in financing the deal. Launched an investment pool known as a dedicated vehicle to raise money from smaller investors with a minimum buy-in of $250,000

Keith Rabois: Another early PayPal executive besides Musk. His connection to the Twitter deal is unclear.

Joe Lonsdale: A partner at 8VC, a San Francisco-based VC firm. “I have nothing to do with this other than a few sarcastic comments,” he said of Musk’s Twitter takeover.

Sacks is a member of the so-called PayPal mafia that helped set up the payment startup with Musk in the late 1990s.

Jurvetson was an early investor in Tesla, where Musk is CEO. He was once a member of the Tesla board and currently serves on the board of Musk’s SpaceX.

Twitter is also said to have issued subpoenas over the weekend to several banks involved in putting together the financing for the deal, including Credit Suisse and Morgan Stanley.

The subpoena reported by the Post included extensive requests for communications including “checklists, timelines, presentations, decks, organizational conversations, meetings, notes, recordings” related to the financing of the deal.

That subpoena also specifically asks for spam account communications, as well as information about the May 2022 All-In Summit.

The Miami event was attended by Palihapitiya, Calacanis, Sacks, who co-host a podcast, and Musk spoke at the summit via video conference.

Adam Badawi, a law professor at the University of California at Berkeley who is not involved in the case, told the Post that Twitter is likely seeking a few key pieces of information with his requests.

“The first would be something nice that Musk would say on Twitter to encourage people to participate in the equity financing,” he said. “The second would be anything he said contradicts his public statements about bots.”

He noted that investors targeted by the subpoenas will likely be forced to testify in the Delaware business court where the lawsuit was filed.

“Most venture capitalists have portfolios of companies incorporated in Delaware, so they probably don’t want to face the courts,” he said.

On Friday, Musk contradicted Twitter and escalated his legal battle with the social media company over its bid to walk away from the $44 billion purchase.

While the 164-page document was not publicly available, an edited version could be made public soon, according to courts.

Musk’s lawsuit was filed hours after Chancellor Kathaleen McCormick of the Delaware Court of Chancery ordered a five-day lawsuit beginning Oct. 17 to determine whether Musk can walk away from the deal.

Investor Joe Lonsdale, a Musk employee, said on Twitter that he had also received a subpoena from the social media company.

Investor Joe Lonsdale, a Musk employee, said on Twitter that he had also received a subpoena from the social media company.

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Musk signed an agreement on April 25 to buy Twitter for $54.20 a share, but on July 8 he withdrew from the acquisition, accusing Twitter of violating the agreement by misrepresenting the number of fake accounts on Twitter. his platform.

Twitter sued days later, calling the fake account a distraction and saying Musk was bound by the merger contract to close the deal at the agreed price.

The social media platform has urged shareholders to endorse the deal and voted on the merger on September 13.

“We are determined to complete the merger at the price and terms agreed with Mr. Musk,” Twitter chief executive Parag Agrawal and board chairman Bret Taylor said in a copy of a letter to investors.

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