Elon Musk has been critical of Twitter’s policies.
New Delhi:
- Twitter Inc is expected to accept the $43 billion takeover deal offered by Elon Musk, reports Reuters. Musk has called this his “best and final” offer for the micro-blogging platform.
- Twitter may announce the $54.20-per-share deal later on Monday once its board has met to recommend the transaction to Twitter shareholders.
- Elon Musk, a self-described “free speech absolutist”, has been critical of Twitter’s policies.
- The Tesla chief executive officer has said Twitter needs to be taken private to grow and become a genuine platform for free speech.
- The deal would come just four days after Musk unveiled a financing package to back the acquisition. This led Twitter’s board to take the deal more seriously and many shareholders to ask the company not to let the opportunity for a deal to slip away.
- Musk currently owns 9.1 per cent stake in Twitter and is the social media company’s second-biggest shareholder. Twitter had previously invited Elon Musk to join its board of directors, but the SpaceX head declined.
- The Twitter board of directors had been opposed to the proposal, lining up a “poison pill” clause that would make it harder for Musk to acquire more than 15 percent of the company via the market.
- The potential turnabout on Twitter’s part comes after Musk met with several shareholders of the company on Friday.
- Tesla CEO Musk said Thursday he had secured close to $46.5 billion to finance the transaction.
- Twitter has not been able to secure so far a ‘go-shop’ provision under its agreement with Musk that would allow it to solicit other bids once the deal is signed.