Billionaire Elon Musk has offered to buy Twitter for $41.39 billion, a regulatory filing revealed on April 14. He has offered to buy Twitter for $54.20/share in cash.
On Thursday, the 50-year-old tycoon announced the offer in a filing with the US Securities and Exchange Commission.
Musk’s offer price of $54.20 per share represents a 38 percent premium to the closing price of Twitter’s stock on April 1, the last trading day before the Tesla CEO’s over nine percent investment in the company was publicly announced on April 4.
Elon Musk has made a “best and final” offer to buy Twitter Inc., saying the company has extraordinary potential and he will unlock it. The world’s richest man will pay $54.20 per share in cash, representing a 54 percent premium over the January 28 closing price and a value of about $43 billion.
After launching the hostile takeover, the Tesla boss said on April 14: “Twitter has extraordinary potential, I will unlock it.”
Musk said he believes Twitter “will neither thrive nor serve societal imperative in its current form. Twitter needs to be transformed as a private company”
“If the deal doesn’t work, given that I don’t have confidence in management nor do I believe I can drive the necessary change in the public market, I would need to reconsider my position as a shareholder.”
He is one of Twitter’s most-watched firebrands and has been outspoken about changes he would like to consider imposing on the social media platform. The company offered him a seat on the board following the announcement of his stake, which made him the largest individual shareholder.
As Musk’s stake became public, he immediately started engaging fellow users about potential moves, from turning Twitter’s San Francisco headquarters into a homeless shelter to granting automatic verification marks to premium users. Several celebrities with large followings rarely tweet, which suggests that Twitter is dying.