Last week, the news of Elon Musk, Chief Executive Officer at Tesla, joining the Board of Directors at Twitter after a filing with the United States Securities and Exchange Commission, was released. But a subsequent report of Musk deciding not to join the board followed.
According to a regulatory filing made public on Monday, April 4, 2022, Elon Musk bought 9.1% of Twitter, making him Twitter’s largest shareholder. Following this course, a Twitter shareholder sued Musk for failing to disclose his stake in the social networking platform, costing investors money and saving Musk around $143 million.
Currently, a regulatory filing posted on Thursday made it known that the world’s richest man is offering to buy Twitter for $43 billion, at $54.20 per share, a move analysts believe is in line with his intentions of rejecting to join the social networking platform’s board as it would have limited his shareholding to less than 15%.
Musk noted that his offer was his best and final and if it was not accepted, he would need to reconsider his position as a shareholder.
“Twitter has extraordinary potential. I will unlock it,” Musk stated in a letter to Twitter’s board on Wednesday.
“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,” he said.
In his letter to Bret Taylor, Chairman of the social networking company, Musk pointed out: “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.”
In response, Twitter confirmed that it has received the unsolicited, non-binding proposal from Elon Musk to acquire all of the Company’s outstanding common stock for $54.20 per share in cash.
Noting further, the social platform said its 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.