Elon Musk, the CEO of Tesla, has offered to acquire Twitter, claiming that the social media network. Which he chastised for not upholding free-speech ideals, needs to be converted into a private firm. Tesla CEO Elon Musk Showed interest in buying Twitter for $43bn.
Musk, the company’s largest shareholder, has proposed buying the remaining shares of Twitter that he doesn’t already own at $54.20 per share.
An offer worth more than $43 billion, according to a regulatory filing on Thursday.
Twitter’s board of directors gathered this week to sign what sounds like a suicide pact. It unanimously voted to swallow a “poison pill” to tank the value of the social media giant’s shares, rather than allow billionaire Elon Musk to buy the company…https://t.co/D41t4b04fb— Jonathan Turley (@JonathanTurley) April 16, 2022
Musk called that pricing his best and final offer, but he didn’t say how he’d pay for it. The offer is non-binding and is contingent on funding and other factors.
Tesla CEO Elon Musk Showed interest to buy Twitter for $43bn
“I invested in Twitter as I believe in its potential to be the platform for free speech around the globe. I believe free speech is a societal imperative for a functioning democracy,” Musk said in the filing.
However, since making my investment I now realize the company will neither thrive nor serve this societal imperative in its current form. Twitter needs to be transformed as a private company.”
Twitter said it has received Musk’s offer and will determine whether to accept it or continue to function as a publicly traded corporation in the best interests of its shareholders.
“This soap opera will end with Musk owning Twitter following this aggressive hostile acquisition of the firm.
” Wedbush analyst Daniel Ives wrote in a client note. Other bidders or consortiums, he believes, will find it difficult to step forward. Twitter’s board will be compelled to accept Musk’s offer or begin the process of selling the firm.
Musk acknowledged in recent regulatory filings that he began buying shares in practically daily batches on January 31 and ended up with a stake of around 9%.