After trying unsuccessfully to stop Tesla CEO Elon Musk from attempting a hostile takeover, Twitter’s board has accepted his offer to take over the company and is now private. The deal is valued at $44 Billion.
Twitter shareholders will be entitled to $54.20 cash per share after the transaction closes. According to Twitter’s release, the purchase price represents 38 percent more than Twitter’s closing stock prices on April 1, 2022. This was the day that Musk revealed his 9.2 percent stake.
According to reports Musk met with Twitter executives to discuss his final offer to purchase the company and make it private. Following the meeting, Musk met with executives from both companies to discuss the details of the deal. They agreed that it was in the stockholders’ best interests.
Here are the top five facts you need to know about Twitter’s acquisition by Musk.
What does Parag Agarwal, CEO of Twitter, have to say?
Parag Agarwal, CEO of Twitter, addressed the issue and spoke about Twitter’s importance. Twitter has a purpose that is relevant to the whole world. He wrote that he was deeply proud of his team and inspired by their work, in a tweet.
How will Parag Agarwal fare after Elon Musk is gone?
Twitter isn’t commenting on Agarwal’s fate after Elon Musk assumes control of the company. However, Equilar reported that he would receive $42 million if he was terminated within twelve months following a change of control. These figures are based upon his salary and accelerated vesting all equity awards.
Twitter is a platform that has relevance and purpose. It impacts all people. We are proud of the team and feel inspired by their work. https://t.co/5iNTtJoEHf
— Parag Agrawal (@paraga), April 25, 2022
What happens to employees of Twitter?
Agrawal told employees that the future of Musk’s company was uncertain following the announcement.
Agrawal stated that “once the deal closes we don’t yet know the direction of the platform.” He was responding to questions about whether Donald Trump would be permitted back onto the platform. He said, “I think when we have the opportunity to speak with Elon it’s a problem we should address together,” while addressing a town hall meeting at company level, according to Reuters.
He assured Twitter workers that no layoffs were planned.
How does Jack Dorsey, Twitter’s founder, feel about this deal?
Jack Dorsey, the founder of Twitter has expressed faith in Musk’s leadership. Also, he stated that the “correct first step” towards rebuilding the company was to take the company from Wall Street.
“The service and the idea are all that matter to me. I’ll do everything to ensure both.” My biggest regret is Twitter’s failure to grow as a business. Wall Street has owned it and used the ad-model. Dorsey stated in several tweets that “taking it back from Wall Street would be the right first step.”
My principle view is that no one should be able to own Twitter. Twitter wants to become a public service at protocol level and not a business. Elon, however, is my only hope for solving the problem that it’s a company. His mission is to spread the light of consciousness.
— Jack (@jack), April 26, 2022
In principle, Twitter should not be owned or controlled by anyone. The company wants it to serve a purpose at protocol level and not as a business. Elon, however, is my only hope for solving the problem that it’s a company. He added that he trusts his mission to spread the light of consciousness.”
Elon is right to pursue his goal of creating an open platform “maximally trustworthy and inclusive”. This goal is the same as @paraga’s, which is why I chose to work with him. We are grateful to you for helping us get out of this difficult situation. I believe this is the best path.
— Jack (@jack), April 26, 2022
Musk’s vision of the company was also a source of his confidence. Elon’s vision of building a platform “maximally trustworthy and inclusive” is the correct one. This goal is @paraga’s, which is why I chose to work with him. We are grateful to you for helping the company get out of an unfeasible situation. He wrote in another tweet that “This is the right way…I believe it completely.”
How does Jeff Bezos, Amazon’s CEO, feel about this deal?
Jeff Bezos, founder of Amazon Inc asked a daring question about the recent news that Musk was taking control of Twitter. Bezos repeated in a series tweets the close connections that Tesla has with China. He also asked whether China had any leverage over China. He stated in a tweet that this development was likely to complicate matters for Tesla and not introduce censorship on Twitter.
Interesting question. Interesting question. https://t.co/jTiEnabP6T
— Jeff Bezos (@JeffBezos) April 25, 2022
Elon Musk has purchased Twitter for $44 Billion. Twitter shareholders will be paid $54.20 per share in cash upon the closing of this transaction. According to Twiter’s release, the purchase price represents 38% more than Twitters April closing stock price.