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Elon Musk is offering to buy Twitter.
The revelation on Thursday came just days after the Tesla CEO said he would no longer be joining the social media company’s board of directors.
Twitter Inc said in a regulatory filing that Musk, who currently owns slightly more than nine per cent of the company’s stock and is its biggest shareholder, provided a letter on Wednesday that contained a proposal to buy the remaining 91 per cent of shares.
Elon Musk offered $54.2 per share of Twitter’s stock, calling the price his best and final offer.
“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 said in the filing.
“However, 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.”
Later, Twitter said its board will evaluate an “unsolicited, non-binding” offer from Musk.
“The Twitter 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,” Twitter said as it confirmed it received Musk’s bid valuing the company at $43.4 billion.
The buyout offer from Musk, who also owns US aerospace company SpaceX, is just the latest development in his relationship with Twitter.
The billionaire revealed in regulatory filings over recent weeks that he had been buying shares in almost daily batches starting January 31.
At that point, Twitter quickly gave Musk a seat on its board on the condition that he did not own more than 14.9 per cent of the company’s outstanding stock, according to a filing.
Musk’s 81 million Twitter followers make him one of the most popular figures on the platform, rivalling pop stars like Ariana Grande and Lady Gaga.
Shares of Twitter jumped 11 per cent before the market opened on Thursday.
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Source: GhArticles.com
