https://www.sec.gov/ix?doc=/Archives/edgar/data/1418091/000119312521276828/d197034d8k.htm
Item 8.01 Other Events
On September 20, 2021, Twitter, Inc. (the “Company”) issued a press release announcing its entry into a binding agreement for the settlement of a previously disclosed consolidated class action lawsuit commenced in 2016 in the United States District Court for the Northern District of California and consolidated under the caption In re Twitter, Inc. Securities Litigation, Case No. 4:16-CV-05314-JST (SK).
The binding agreement, which is subject to certain conditions, including court approval of a final settlement agreement, requires the Company to pay $809.5 million for claims alleging violations of Sections 10(b) and 20(a) of the Securities Exchange Act of 1934. The binding agreement does not, and the final settlement agreement will not, include or constitute an admission, concession, or finding of any fault, liability, or wrongdoing by the Company or any defendant. There can be no assurance that the final settlement agreement will be executed or that such agreement will be approved by the court.
The Company intends to use cash on hand to pay the settlement amount, which is expected to be paid in the fourth quarter of 2021. The Company expects to record a charge for the settlement during the third quarter of 2021.
The Company’s press release announcing the entry into the binding agreement is included as Exhibit 99.1 to this report.
Press Release: https://www.sec.gov/ix?doc=/Archives/edgar/data/1418091/000119312521276828/d197034d8k.htm