Twitter has been offered a staggering $41 billion by billionaire Elon Musk. Just a week earlier, Mr. Musk had acquired a 9% stake in the company. As a result, it is more like a Godfather-type offer.
Even though it’s a no-brainer offer, I’m talking about a different part of the movie. Twitter Chairman Bret Taylor got a letter from Elon Musk. In his letter, he says, “My offer is my best and final offer and if it is not accepted, I would need to reconsider my position as a shareholder.”
Elon Musk Offers Twitter: An Offer You Can’t Refuse
One time, Don Corleone’s man forced a bandleader to sign a contract by putting a gun to his head. Neither his signature nor his brain would appear on the contract, Don Corleone told the bandleader.
Similarly, Elon Musk is trying to acquire Twitter. He bought a 9% stake in Twitter, which saw its shares rise by 12%. Currently, Musk is offering $58 per share to buy Twitter. Compared to Twitter’s April 1 value, this is a 38% premium.
Musk was offered a seat on Twitter’s board, but he declined because that would prevent him from buying more shares. Musk plays his hand by threatening to cash out his shares if the offer isn’t accepted.
Elon’s letter to Twitter’s Chairman says, “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.”
Within your first week with shares, that’s a pretty big comment to make. According to the article, Musk might have planned this all along, and Twitter may accept Musk’s offer.
Musk has a number of ideas for Twitter, and we may see a complete overhaul if he succeeds in buying it. But how do you feel about his bid?
Social media should be owned by people in business? Could it be passive ownership, as it has been so far? Please share your thoughts in the comments.
