Winning Business Desk
Mumbai. Tesla founder Elon Musk has offered to buy Twitter Inc for $ 43 billion (about Rs 3.2 lakh crore) and he is ready to pay cash at $ 54.20 per share. Musk gave information about this offer in a filing with the US Securities and Exchange Commission. On Musk's offer, Twitter said that the board of directors will evaluate the Tesla Chief's non-binding agreement to make a decision in the best interest of the company and all Twitter stockholders. The board may soon meet to discuss Musk's offer.
My offer is my best and final offer
Elon Musk said, "I invested in Twitter because I believe it has the potential to become a worldwide platform for free speech, and I believe free speech is a social imperative for a functioning democracy. However, since my investment I have now realized that the company in its present form will neither thrive nor meet this social imperative. Twitter needs to be turned into a private company. For this reason, I am offering to buy a 100% stake in Twitter for $54.20 per share at a 54% premium to the price the day before I start investing. At the same time, this is a premium of 38% compared to the day before the public announcement of my investment. My offer is my best and final offer and if it is not accepted, I will need to reconsider my position as a shareholder. Twitter has extraordinary potential. I will unlock it.'
Musk owns a 9.2% stake in Twitter
Twitter's stock is currently trading around $47.30 with a gain of about 3%. On Wednesday, it had closed at $45.85, up 3.10%. Musk owns a 9.2% stake in Twitter. This information was revealed on 4 April. After this information came out, there was a great rally in the stock. Musk was also offered to join the board, which he turned down. "Elon Musk's offer shows he has little confidence in current management and does not believe he can make the necessary changes to the company," said Jesse Cohen, senior analyst at Ivesting.com. We now know the reason behind Musk's refusal to join the board.
Is Twitter going to end?
Recently, Musk tweeted about the feature of Twitter and asked the users whether they want the edit button. The edit feature means that you will be able to edit whatever you tweeted. Suppose you made a tweet, but later want to make some correction or update in that tweet, then with the new feature you will be able to do so. Elon Musk shared the list of 10 most followed Twitter accounts and asked "Is Twitter going to end?" He asked this question because most of the handles are not very active on the microblogging site. American singer Taylor Swift hasn't posted anything in 3 months and Justin Bieber has posted only once in this entire year.