- Elon Musk has made an unfavorable bid for the acquisition of Twitter for about 43 43 billion
- CEO Parag Agarwal told the staff that the company would follow a “strict process”.
- Agarwal said the board was still evaluating Mask’s proposal, a decision in the best interests of shareholders.
After Elon Musk made an unfavorable bid to acquire Twitter for about $ 43 billion, its Indian-origin CEO Parag Agarwal tried to persuade staff that the micro-blogging platform would follow a “tough process”.
In a meeting with employees late Thursday, Agrawal said the board was still evaluating Musk’s proposal and would make a decision “in the best interests of our shareholders”, The Verge reports.
“At least one employee asked about the possibility of future layoffs, which Agarwal said would not be determined by personal performance ratings,” the report said.
Asked what would happen to employee stock options if Twitter was taken private, Agarwal said it was too early to guess.
During a TED event, Tesla CEO Musk told the audience that he had a “Plan B” if Twitter rejected his offer. However, he did not give any details in this regard.
“I’m not sure I’ll ever be able to achieve that,” said the billionaire.
Twitter says it will carefully review Mask’s “unsolicited, non-binding” offer to acquire more than $ 43 billion worth of micro-blogging platforms.
The micro-blogging platform said in a statement, “Twitter’s board of directors will carefully review the proposal to determine the move, which it believes is in the best interests of the company and all Twitter stockholders.”
Musk offered to buy 100 percent of Twitter on January 28, 2022 at 54 54.20, a 54 percent premium from Twitter’s closing price, the day before Musk began investing in the company.
This is 38 percent premium to Twitter’s closing price on April 1, 2022, the day before Mask’s investment in Twitter was publicly announced.
“I have invested in Twitter because I believe it has the potential to be a platform for freedom of speech around the world, and I believe that freedom of speech is a social obligation for an effective democracy,” Musk said in a filing with the US SEC.
“However, since my investment, I now understand that the company will not enrich or serve this social need in its current form. Twitter needs to be transformed into a private company.”
“If the deal doesn’t work, I don’t trust management or I don’t believe I can make the necessary changes in the public market, then I have to reconsider my position as a shareholder,” he threatened.
Also read | Elon Musk applies corporate raider-style tactics, urging shareholders to decide on his Twitter bid.
Also read | Twitter has responded to Elon Musk’s $ 41 billion purchase offer
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