Thursday, April 14, 2022

Elon Musk offers to buy Twitter for $43 billion, so it can be 'transformed as private company'

Elon Musk offered to buy Twitter for $54.20 a share, saying the social media company needs to be transformed privately, a little over a week after first revealing a 9.2% stake in the company. Musk’s offer values Twitter at about $43 billion.

“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,” Musk wrote in a letter sent to Twitter Chairman Bret Taylor and disclosed in a securities filing.

According to Musk, the social media company needs to go private because it can “neither thrive nor serve” free speech in its current state.

“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,” he wrote. “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 shares jumped more than 6% in premarket trading after closing at $45.85 a share on Wednesday. Musk tapped Morgan Stanley as a financial advisor, according to the filing.

via www.cnbc.com

Go Elon go!

https://rightcoast.typepad.com/rightcoast/2022/04/elon-musk-offers-to-buy-twitter-for-43-billion-so-it-can-be-transformed-as-private-company.html

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Comments

This is a guy who used his bullying power to accuse a hero of being a paedophile. Sod him.

Posted by: dearieme | Apr 14, 2022 9:14:32 AM

Professor Smith,

You were the first one I thought of hearing about this. I am a 2004 alum but life took me down the path of family law rather than construct/corporate law, so I know that I know just enough about this to be dangerous.

What are your thoughts on the offer? Any theories on how this could go on with shareholder rights?

Appreciate your thoughts.

Aaron Smith, Class of 2004

Posted by: Aaron Smith | Apr 14, 2022 7:42:59 PM

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