As part of his effort to bring “free speech around the globe,” Elon Musk is offering $41 billion to buy Twitter, just days after he rejected a seat on its board.
The offer price of $54.20 per share, disclosed in a regulatory filing on Thursday, represents a 38% premium over Twitter’s April 1 close, the last trading day before Musk’s 9% stake became public.
In premarket trade, Twitter’s stock rose 12%.
“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,” Musk wrote in a letter to Twitter Chairman Bret Taylor.
“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.”
“My offer is my best and final offer, and if it is not accepted, I would need to reconsider my position as a shareholder,” Musk said.
Musk wrote bluntly in his filing: “I am not playing the back-and-forth game.”
“I have moved straight to the end,” the entrepreneur said. “It’s a high price, and your shareholders will love it.”
Musk announced earlier this week that he would not be joining the board of directors of Twitter, just before his term was due to begin. Taking a position on the board of directors would have prohibited him from attempting to take over the company.
Twitter said in a statement: “The Twitter Board of Directors will carefully review the proposal to determine the course of action that it believes is in the best interest of the Company and all Twitter stockholders.”
Musk’s takeover bid is expected to succeed eventually, according to analysts.
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