Elon Musk, the CEO of Tesla, has said that if the board of directors of Twitter rejects his bid to take out the social media business, he has a “Plan B.” Musk also said that he would want to maintain as many stockholders in the privatized Twitter as the law allows. The world’s wealthiest individual has already made a bid to purchase Twitter Inc. He is prepared to pay USD 43 billion for the company’s whole ownership.
The billionaire will pay USD 54.20 per share in cash, according to a filing with the US Securities and Exchange Commission on Thursday, a 54 percent premium over the January 28 closing price. “I am proposing to acquire 100% of Twitter for USD 54.20 per share in cash, a 54% premium over the day before I started investing in Twitter and a 38% premium over the day before my investment was publicly publicized,” says the statement “he penned “My offer is my best and last offer, and if it is not accepted, I will have to reassess my shareholder position.”
Twitter, according to Musk, needs to be turned into a private firm. “Will do everything possible to maintain as many stockholders in a privatized Twitter as the law allows, “On Friday, he wrote in a tweet. During an all-hands meeting on April 14, Twitter CEO Parag Agrawal tried to reassure staff that the firm was not being “kept hostage” by rumors of Elon Musk’s bid to acquire the company, according to a person familiar with the situation.
According to The Spectator Index, Elon Musk has a “Plan B” if the Twitter board of directors rejects his bid to buy the firm.
“I would need to reevaluate my position as a shareholder if the transaction doesn’t work, given that I don’t have faith in management and don’t feel I can force the required change in the public market,” Musk added. This isn’t a danger; it’s just not a smart investment without the necessary improvements.”
Musk recently declared his 9.2 percent stake in Twitter, making him the company’s biggest stakeholder. Musk was also given a position on Twitter’s board of directors, which the firm considered as “the best route ahead,” with board members required to “act in the best interests of the business and all our shareholders.”
The offer was turned down by Tesla’s CEO. “Elon said the next morning that he would no longer be joining the board of directors, “Parag Agrawal, the CEO of Twitter, stated.
The Vanguard Group has become the biggest stakeholder in Twitter, with a 10.3 percent stake in the San Francisco-based social media company. According to the Wall Street Journal, Twitter is investigating methods to prevent Elon Musk from dramatically growing his ownership in the firm. During an all-hands meeting on April 14, Twitter CEO Agrawal tried to reassure staff that the firm was not being “kept hostage.” “according to Reuters, by reports of Elon Musk’s bid to purchase the company.
Source: News18