The saga between Twitter and Elon Musk continues.
The founder and CEO of Tesla, recently purchased a 9.2% stake in the popular social media site, Twitter. After declining the opportunity to be a part of Twitter’s board, Musk made an unprecedented and unsolicited appeal to buy the social media company for $54.20 a share. This equates to an estimated $43 billion buy-out proposal.
In a letter disclosed in an SEC filing for the sales offer, Musk wrote a letter to Twitter Chairman, Bret Taylor, describing the platform’s need to be redeveloped and transformed.
“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.
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. 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 has extraordinary potential. I will unlock it.”
Best And Final Offer
In an official press release, Twitter confirmed that it received Musk’s cash offer. The social media company disclosed that the board of directors will “carefully review the proposal” to assess what is the best course of action and how this potential offer would impact the company and its associated shareholders.
While many of Musk’s recent actions regarding Twitter have not been clear, he seems adamant about his desire to take over the social media platform. With advisement from representatives at Goldman Sachs & Co. and Wilson Sonsini Goodrich & Rosati, Musk is confident in what he is considering his one-time best and final offer, according to a source cited in a Reuters report.
Per his usual course of actions, Musk tweeted the link to the filing page for his multi-billion dollar offer.
Concerning Twitter’s consideration of the deal, Musk confirmed that if the offer is not accepted, he will reconsider his current shareholder stake in the company.