The Tesla cofounder has made a $42 billion offer to acquire the platform.
Here’s how Twitter users have reacted to Musk’s hostile takeover attempt.
Billionaire entrepreneur Elon Musk offered to take Twitter Inc. private in a deal valued at $43 billion, lambasting company management and saying he’s the person who can unlock the “extraordinary potential” of a communication platform used daily by more than 200 million people.
Earlier today, Elon Musk announced an offer to acquire Twitter in an all-cash deal, at $54.20 per share, valuing the company at nearly $4 billion.
Many are seeing this as a hostile takeover attempt, but if the offer is lucrative enough, it could turn into a friendly deal, giving the Twitter management an exit that they might be seeking.
Understandably, #ElonMuskTwitter is now the top trending hashtag on Twitter, with reactions pouring in from all sides.
Twitter said that its board would review the proposal and any response would be in the best interests of “all Twitter stockholders.” The board, which was set to meet to evaluate the proposal early Thursday, sees the takeover offer as unwelcome and will probably fight it, the Information reported, citing a person familiar with the matter.
In an interview at a TED conference on Thursday in Vancouver, Musk said he’s not sure he’ll succeed with the acquisition, and indicated that he has a Plan B if Twitter’s board rejects his offer. He declined to elaborate.
“I invested in Twitter as I believe in its potential to be the platform for free speech around the globe, and I believe free speech is a societal imperative for a functioning democracy,” said Musk in a letter sent to Twitter chairman Bret Taylor. “Twitter has extraordinary potential. I will unlock it.”
“TWITTER HAS EXTRAORDINARY POTENTIAL. I WILL UNLOCK IT.”
Below is the full text of the letter sent by Musk to Twitter, per the SEC filing:
--Bret Taylor Chairman of the Board, I invested in Twitter as I believe in its potential to be the platform for free speech around the globe, and I believe free speech is a societal imperative for a functioning democracy. However, 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. As a result, I am offering to buy 100% of Twitter for $54.20 per share in cash, a 54% premium over the day before I began investing in Twitter and a 38% premium over the day before my investment was publicly announced. My offer is my best and final offer and if it is not accepted, I would need to reconsider my position as a shareholder. Twitter has extraordinary potential. I will unlock it. --Elon Musk.
Update -- Elon Musk submitted a take it or leave it offer for Twitter, offering $54.20 Billion of a share for 100 percent ownership.