Elon Musk Now Wants to Buy Twitter; Offers to Pay $54.20 per Share

Twitter is going through an eventful time right now. Elon Muskrecently becameTwitter’s largest shareholder, turned down the offer to be on its board, and has now offered to buy Twitter. In a filing with the Security Exchange Commission (SEC), Musk has offered to pay $54.20 per share. Interestingly, the mention of 420 is a reminder of Musk’s infamous value of Tesla Motors, which he proposed for whenever it goes public. Here are the details.

Elon Musk Proposes to Buy Twitter

As part of a “hostile bid,” Musk has a non-binding proposal toacquire all of the company’s outstanding common stock at around $43 billion, which he considers the “best and the final offer.“

Thefilingsuggests that this represents a 58% premium over the closing price of the Common Stock on January 28, 2022, and an 18% premium over the closing price as of yesterday. In a letter to the SEC chairman, Musk suggests that Twitter needs to become a private company in order to thrive and this apparently shall happen once Musk acquires it.

The letter reads, “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. 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 into a private company.“

It is claimed that if his offer is denied, Musk will reconsider his position as a shareholder. Elon Musk also took to Twitter to announce that he “made an offer.”I made an offerhttps://t.co/VvreuPMeLu— Elon Musk (@elonmusk)April 14, 2022

I made an offerhttps://t.co/VvreuPMeLu— Elon Musk (@elonmusk)April 14, 2022

Twitter has alsoconfirmedthat it has received the proposal and has revealed that the Board of Directors will review it and come up with a decision that serves the interest of the company and its stockholders.

This comes after Musk recently declined the offer to become a part of the Twitter board but still remains its largest shareholder by securing a 9.2% share. It remains to be seen how this proposal is taken by Twitter and whether or not Musk’s wish of acquiring the micro-blogging platform to make the desired changes is fulfilled. We will let you know once we get more details on this. So, stay tuned, and do tell us how you feel about this in the comments below!

Vanshika Malhotra

Started off as a stranger but tech is more like a good friend, thanks to over 5 years in the industry. While everything is attractive about tech, phones, social media, and quirky gadgets attract me the most. When not working, I find my solace in shopping and everything that concerns doggos!

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