Elon Musk Declares a ‘Plan B’ in Case Twitter’s Board of Directors Rejects His Takeover Offer
Elon Musk, the CEO of Tesla, has stated that if the board of directors of Twitter rejects his offer of buying the social media business, he has a “Plan B.” Musk also declared that he will want to keep as many stockholders in a privatized Twitter as the law permits.
Twitter Inc. has already received a buying offer from the richest person in the world. For the full ownership in the corporation, he is inclined to pay USD 43 billion. The billionaire will pay USD 54.20 per share in cash, as per a report with the US Securities & Exchange Commission on 14th April, a 54 % premium over the 28th January closing share price.
What is the Plan ‘B’ of Mr. Musk?
Elon Musk said, “I would need to re – evaluate my presence as a shareholder if the deal doesn’t execute, given that..
I don’t have faith in management and don’t believe I can force the essential transformation in the public market,”
I made an offer https://t.co/VvreuPMeLu— Elon Musk (@elonmusk) April 14, 2022
Musk added, “This isn’t a threat; it’s just not a good way to invest without the required improvements.”
Musk recently declared his 9.2 percent stake in Twitter, making him the company’s largest stakeholder. Musk was also offered a position on Twitter’s board of directors.
The offer was turned down by Tesla’s CEO. “Elon said that morning that he would be stepping down from the board,” Twitter CEO Parag Agrawal stated.
The Vanguard group has become the largest stakeholder in Twitter, with a 10.3 percent stake in the San Francisco-based social media company.
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
According to the Wall Street Journal, Twitter is discovering ways of preventing Elon Musk from dramatically growing his ownership in the firm.