Twitter’s board of directors has accepted an offer to buy the platform from tech mogul Elon Musk, approximately. $44,000 million in cash (41,000 million euros). This was reported to Reuters by people familiar with the matter who stated that the final deal at $54.20 per share could happen this Monday afternoon. Currently, the listing of the social network is suspended, which, by decision of its new owner, will cease to be traded on the exchange.
For weeks, the richest man on the planet had been pressuring the social network’s board to take control of the social network; it was something that could translate into significant changes in its functioning. The board of directors met this afternoon and recommended that shareholders accept it. “ultimate and best” offer The one that Musk put on the table. News of the over-probable acquisition boosted Twitter shares by 4.5%. The billionaire is personally negotiating the purchase of the social network without any interference from Tesla, the electric car company he runs.
Although the deal has not yet been formalized, Musk reacted as if the deal was already closed. “I hope even my worst critics stay on Twitter because that’s what freedom of speech means,” he said.
But that doesn’t mean Musk’s hostile takeover will be successful. Twitter has yet to secure the option to allow it to solicit further offers once the deal is signed, but may accept another offer by paying Musk a breakup fee, according to the same confidential sources.
change platform
Musk said that for Twitter to grow and become a real platform, it needs to be customized. Freedom of expression. This privatization will result in the company’s departure from the New York Stock Exchange, where it is currently traded. Tycoon has repeatedly criticized the platform’s content moderation policies. Since Twitter functions as a de facto public square, non-compliance with the principles of freedom of expression undermines democracy,” he tweeted in early April. This shows that if they manage to take control, this could turn into a comeback. donald trump the social network he was fired from by the far-right for promoting the attack on the Capitol.
At first, Twitter’s board viewed Musk’s proposal with skepticism and adopted a ‘poison pill’, technically a defensive maneuver that prevented the businessman who initiated this hostile takeover bid from accumulating more stakes in the company. If it did, the deal between the two sides would come just four days after Musk announced a financing package with the backing of lenders like the investment bank. Morgan Stanley, to support purchasing. This prompted the board to take his proposal more seriously. As reported by Reuters, many shareholders would ask the company not to miss an opportunity to reach an agreement.
Musk’s offer puts the current CEO of Twitter, Parag AgrawalBetween a rock and a hard place. After the Indian-American engineer first became the largest individual shareholder of the platform at 9.2%, he tried to get the businessman to become part of the board, which limited him to not exceeding 15% turnout. Musk chose not to do so, and in November launched a hostile takeover bid that could now end the tenure of Agrawal, who replaced the company’s founder. Jack Dorsey. While the company has not been more profitable since then, it is well on its way to meeting the ambitious targets set by shareholders for 2023.
Source: Informacion
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