Elon Musk Makes Hostile Takeover Bid for Twitter

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L_Hall91 | Apr 14, 2022 |

Elon Musk has made a bold play to take over Twitter in its entirety with a reported $43.4 billion offer.

Musk also tweeted the SEC filings saying, “I made an offer.”

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

The SEC filings state, “There can be no assurance that a definitive agreement with respect to the Proposal will be executed or, if executed, whether the transaction will be consummated.” Meaning the deal may not go ahead.

However, the filing also states the reasons Musk wants to take over Twitter in the letter he sent to Chairman of the Board Bret Taylor.

“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 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.”

A further script of text sent by Musk says:

Since Musk acquired a 9% stake in Twitter, it was assumed he would hold a board position. This turned out not to be the case, as CEO Parag Agrawal tweeted:

Elon has decided not to join our board. I sent a brief note to the company, sharing with you all here. pic.twitter.com/lfrXACavvk
— Parag Agrawal (@paraga) April 11, 2022

This meant Musk could go on to purchase Twitter outright, something he has just attempted to do.

We will soon see if this deal goes ahead, and if one of the biggest social media giants is acquired by one of the worlds leading social entrepreneurs.