Twitter’s board of directors wants Elon Musk’s $44 billion takeover bid to be approved by the company’s shareholders. The board of directors, who wanted investors to support the deal, pointed out that the same offer was valid despite the decline in shares.
From Twitter management to investors: Stocks are falling, hurry
According to a document submitted to the US Securities and Exchange Commission the other day, Twitter’s board of directors made a special call to shareholders to complete the acquisition. In its statement in the report, the board asked for a unanimous vote to accept the agreement.
There is no consensus among Twitter shareholders to complete the acquisition yet. However, Elon Musk suspended the agreement due to bots and spam accounts. So even if the shareholders accept the offer, the acquisition may not happen immediately. Still, Twitter’s board made an open appeal to shareholders.
The company’s board of directors also discussed some conditions regarding the offer. For example, he recommended that shareholders be deferred compensation to senior executives and additional power of attorney.
It should not be ignored that Twitter’s share price, which is currently trading at $ 38.12, is well below Musk’s offer of $ 54.20. After the drop in shares, the market value of the company also fell below $ 30 billion. As a result, the $44 billion acquisition will be beneficial for all shareholders.
However, due to the platform’s bot and spam account problem, the purchase is currently on hold. But earlier this month, Musk was given full access to the tweet stream to control accounts on the platform. Still, Musk stated in his latest statement that there are still “unresolved issues”.
Twitter previously stated that bots and spam on its platform account for less than 5 percent of its active users. Not convinced by this figure, the Tesla CEO said that the analysis method was “inadequate” and “must do his own analysis”.
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