Elon Musk’s Hostile Takeover Bid Of Twitter Is Unprecedented; Will Twitter Board Allow This?
We are all well aware of the stunt Elon Musk pulled recently and acquired a majority stake of Twitter.
And now, as if this wasnt enough, he has offered to buy 100% equity in Twitter!
Elon Musk Offers To Buy 100% Equity Stake in Twitter
It has been only two weeks since Elon Musk acquired a 9.2% stake in Twitter. The stake is worth nearly $3 billion, making Musk the biggest individual shareholder in the company.
The other stakeholders include the 8.8 percent stake held by the Vanguard Group, 8.4 percent held by Morgan Stanley, and 2.2 percent stake held by Twitter co-founder Jack Dorsey.
And now he has offered to buy a 100% equity stake in the popular social networking platform. He has reportedly offered $54.2 per share, as confirmed by a US SEC filing.
Twitter Should Be Made Private?
As per Musk, Twitter should be made private for the platform to flourish.
The world’s richest man has penned a letter to Bret Taylor, the chairman of Twitter’s board, in which he states, “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.”
He has stated that this is his best and final offer, and he will reconsider his position as a shareholder if this offer is not accepted.
As per reports, Musk invested in Twitter as the platform has plenty of potentials to be a space where people across the globe can practise freedom of speech.
Musk Becomes 2nd Largest Shareholder of Twitter
To start with, nearly 10 days after he had already acquired the stake, Musk first tweeted a poll asking his followers if Twitter rigorously adhered to the principles of free speech on March 25.
In response when more than 70 percent of the voters said that they did not believe that Twitter was rigorously implementing the principles of free speech, again on March 26, Musk posted a tweet asking for a solution as Twitter, which “serves as the de-facto public town square”, had failed to adhere to free speech principles which in turn undermined democracy.
Musk has recently shared three features that only Twitter Blue users will be able to enjoy. Twitter Blue is a premium monthly subscription costing $3/month which gives members access to exclusive features.