After refusing a seat on the board following his 9.2% stake investment in Twitter, Musk is offering to buy the company and take it private for $54.20 per share or $43 Billion.
Musk said:
I invested in Twitter as I believe in its potential to be the platform for free speech around the globe, and I believe free speech is a societal imperative for a functioning democracy.
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.
As a result, I am offering to buy 100% of Twitter for $54.20 per share in cash, a 54% premium over the day before I began investing in Twitter and a 38% premium over the day before my investment was publicly announced. My offer is my best and final offer and if it is not accepted, I would need to reconsider my position as a shareholder.
Twitter has extraordinary potential. I will unlock it.”
Twitter shares (TWTR) went up 13% in pre-market trading.
Wedbush analyst Dan Ives thinks Twitter will have to take this bid because it will be unlikely that it would be in their fiduciary duty to turn it down. Twitter has put out a statement acknowledging the offer and has yet to give its answer.
“will carefully review the proposal to determine the course of action that it believes is in the best interest of the Company and all Twitter stockholders.” Twitter said in a statement.
Some are comparing Musk to a modern-day Carl Icahn. Time will soon tell if Twitter takes the offer or if they will figure out a way to turn it down and resume normal operations again for the foreseeable future with their alleged left-wing censorship and bias.
It’s hard to say if founder Jack Dorsey will be involved or is a part of this yet but we will soon find out that as well if he is.
“I made an offer”
— nobody (@nobodyweb3) April 14, 2022
2 Comments