Chennai : The Twitter Board of Directors 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.
Twitter’s board will evaluate an unsolicited, non-binding offer from Tesla chief Elon Musk to acquire the social media company, Twitter said on Thursday.
The Twitter Board of Directors 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 as it confirmed it received Musk’s bid valuing the company at $43.4 billion.
Earlier, Billionaire Elon Musk has offered to buy Twitter for about $41 billion, just days after rejecting a seat on the social media company’s board.
Musk’s offer price of $54.20 per share, which was disclosed in a regulatory filing on Thursday, represents a 38% premium to Twitter’s April 1 close, the last trading day before the Tesla CEO’s more than 9% stake in the company was made public. Twitter’s shares jumped 12% in premarket trading.
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, Musk said in a letter to Twitter Chairman Bret Taylor. My offer is my best and final offer and if it is not accepted, I would need to reconsider my position as a shareholder, Musk said.
Earlier this week, Musk said he had abandoned a plan to join Twitter’s board, just as his tenure was about to start. Taking the board seat would have prevented him from a possible takeover of the company.
In other weekend tweets, Musk posted joke polls on whether to drop the w from Twitter’s name and on converting its San Francisco headquarters to a homeless shelter since no one shows up anyway.
He also suggested removing ads, Twitter’s main source of revenue.
The billionaire tech entrepreneur is a frequent Twitter user, regularly mixing in inflammatory and controversial statements about issues or other public figures with remarks that are whimsical or business-focused.
He has also sparred repeatedly with federal securities regulators, who cracked down on his social media use after a purported effort to take Tesla private in 2018 fell apart.