Elon Musk Seals Deal to Buy Twitter for $44 Billion

April 25, 2022 by Madeline Hughes
Elon Musk Seals Deal to Buy Twitter for $44 Billion

WASHINGTON — After a weekend of intense negotiations, Elon Musk has clinched a deal to become the new owner of Twitter, after convincing the company’s board to accept his $44 billion takeover proposal.

Under the terms of the deal, Twitter stockholders will receive $54.20 in cash for each share of the company’s common stock that they own upon closing of the proposed transaction.

Upon completion of the transaction, expected sometime in 2022, Twitter will become a privately held company.

“Free speech is the bedrock of a functioning democracy, and Twitter is the digital town square where matters vital to the future of humanity are debated,” Musk said in a statement outlining his vision for Twitter’s future.

“I also want to make Twitter better than ever by enhancing the product with new features, making the algorithms open source to increase trust, defeating the spam bots, and authenticating all humans. Twitter has tremendous potential — I look forward to working with the company and the community of users to unlock it,” Musk added.

Bret Taylor, Twitter’s independent board chair, said later in the same statement that “The Twitter Board conducted a thoughtful and comprehensive process to assess Elon’s proposal with a deliberate focus on value, certainty, and financing. The proposed transaction will deliver a substantial cash premium, and we believe it is the best path forward for Twitter’s stockholders.”

The deal came 10 days after Twitter board members announced a “poison pill” attempt to thwart Elon Musk’s attempt to buy the social media company. The board members adopted the defense through April 14, 2023, to give themselves time to vet the offer, according to a press release.

Musk began buying the company’s stock earlier this year before announcing over a 9% stake in the company on  April 4 and stating he would take a seat on the board of directors. He later declined the seat

His bid to buy the company in a hostile takeover came days later.

“​​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,” Musk wrote.

He’s shared multiple ideas for how he would improve Twitter, including taking a less active role in moderating users over reports of hate speech and misinformation.

He vowed via tweet, “If our twitter bid succeeds, we will defeat the spam bots or die trying!”

Musk also said he wants to allow people to see into the algorithm that controls what tweets people see and in what order.

These negotiations come just days before Twitter is slated to announce its first-quarter earnings report Thursday

Soon after Musk’s bid was made public he tweeted a poll asking users to choose “yes or no” to “​​Taking Twitter private at $54.20 should be up to shareholders, not the board.”

Madeline can be reached at [email protected]

A+
a-
  • Elon Musk
  • Social Media
  • Twitter
  • In The News

    Health

    Voting

    Business

    March 28, 2024
    by Dan McCue
    Silicon Valley-Based Firm Launches ‘Radar as a Service’

    BELMONT, Calif. — At first the idea sounds about as un-Silicon Valley as one can get. After all, the basic... Read More

    BELMONT, Calif. — At first the idea sounds about as un-Silicon Valley as one can get. After all, the basic concept underlying radar was proven in 1886, when a German physicist named Heinrich Hertz showed that radio waves could be reflected from solid objects. And the... Read More

    March 28, 2024
    by Tom Ramstack
    Disney World Settles with Florida After Its Opposition to 'Don’t Say Gay' Law

    ORLANDO — The company that runs Walt Disney World reached a settlement Wednesday with appointees of Florida Gov. Ron DeSantis... Read More

    ORLANDO — The company that runs Walt Disney World reached a settlement Wednesday with appointees of Florida Gov. Ron DeSantis who were exerting controversial regulatory control over the huge tourism complex. The settlement resolves some of the disputes that arose after Disney officials publicly denounced the... Read More

    March 26, 2024
    by Dan McCue
    Sen. Blumenthal Lauds Expansion of Tax Credit for Offshore Wind Projects

    NEW LONDON, Conn. — Sen. Richard Blumenthal, D-Conn., visited State Pier in New London, Connecticut, on Monday to tout and... Read More

    NEW LONDON, Conn. — Sen. Richard Blumenthal, D-Conn., visited State Pier in New London, Connecticut, on Monday to tout and celebrate the Biden administration’s decision to expand eligibility of federal tax credits for offshore wind projects. “This tax credit has been a long time in coming,”... Read More

    March 25, 2024
    by Dan McCue
    Energy Department Awards $6B to Decarbonization Projects

    WASHINGTON — The U.S. Department of Energy on Monday awarded $6 billion to 33 projects across more than 20 states... Read More

    WASHINGTON — The U.S. Department of Energy on Monday awarded $6 billion to 33 projects across more than 20 states to decarbonize energy-intensive industries while creating jobs and revitalizing the communities in which they are located. Funded by the bipartisan infrastructure law and Inflation Reduction Act,... Read More

    Energy Agency Announces $6B to Slash Emissions in Industrial Facilities

    The Biden administration announced $6 billion in funding Monday for projects that will slash emissions from the industrial sector —... Read More

    The Biden administration announced $6 billion in funding Monday for projects that will slash emissions from the industrial sector — the largest-ever U.S. investment to decarbonize domestic industry to fight climate change. The industrial sector is responsible for roughly 25% of all the nation’s emissions, and has... Read More

    Trump's Social Media Company Will Go Public After Merger With Shell Company Approved

    NEW YORK (AP) — Donald Trump is returning to the stock market. Shareholders of Digital World Acquisition Corp., a publicly... Read More

    NEW YORK (AP) — Donald Trump is returning to the stock market. Shareholders of Digital World Acquisition Corp., a publicly traded shell company, approved a deal to merge with the former president’s media business in a Friday vote. That means Trump Media & Technology Group, whose... Read More

    News From The Well
    scroll top