2 years ago
Twitter’s committee unanimously recommends that shareholders ballot for Elon Musk’s $44 cardinal bid to instrumentality implicit the societal media company, a June 21 SEC filing shows.
According to the filing, Musk’s connection for Twitter would gain each shareholder $54.20, which is up of the company’s existent shares worth of $38.
The committee has urged the shareholders to ballot successful enactment of the merger agreement, the compensations that would beryllium payable to Twitter enforcement officers, and the adjournment of the gathering owed to insufficient votes.
Meanwhile, the merger has an Oct. 24 deadline, but a day has not been chosen for the shareholders’ votes.
Elon Musk’s protracted Twitter purchase
Elon Musk’s interest successful Twitter has deed immoderate snags arsenic the richest antheral successful the satellite had insisted that the societal media tract beryllium much transparent astir the fig of bot accounts connected its platform.
Those issues, however, appear to beryllium successful the past arsenic Musk precocious held a virtual gathering with Twitter employees. During the meeting, helium hinted that the level could integrate a payment strategy that allows cryptocurrency transactions.
Several analysts person opined that the virtual gathering is the latest awesome that Elon Musk remains committed to completing the acquisition.
Who profits from the takeover?
If the shareholders ratify the takeover bid astatine the existent worth of Twitter shares, each shareholder would beryllium pocketing astir $15 for each banal they ain successful the company.
It means Jack Dorsey, Twitter’s co-founder, who owns 18,042,428 shares, would beryllium receiving $978 cardinal from the deal. Other apical shareholders similar The Vanguard Group, Morgan Stanley, and BlackRock would gain $4.4 billion, $3.6 billion, and $2.8 billion, respectively.
Also, top Twitter executives similar CEO Parag Agrawal and CFO Ned Segal could earn arsenic overmuch arsenic $42 cardinal and $25 million, respectively. This is due to the fact that a “change successful control” clause successful their declaration allows them to beryllium paid massively if they are terminated wrong 12 months of caller ownership.
The station Twitter committee asks shareholders to o.k. Elon Musk’s $44 cardinal bid appeared archetypal connected CryptoSlate.
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