In a deal that will put the world’s richest man in charge of one of the world’s most influential platforms, Twitter announced Monday it has agreed to sell itself to Tesla CEO Elon Musk for $44 Billion.
Under the terms of the deal, shareholders will receive $54.20 in cash for each share of Twitter stock they own, matching Musk’s original offer and marking a 38% premium over the stock price the day before Musk revealed his stake in the company.
“Free speech is the bedrock of a functioning democracy, and Twitter is the digital town square where matters vital to the future of humanity are debated,” Musk said in a statement Monday. “Twitter has tremendous potential — I look forward to working with the company and the community of users to unlock it.”
The deal, which was unanimously approved by Twitter’s board, is expected to close this year, and comes after Musk revealed last week he had lined up $46.5 billion in financing to acquire the company, an apparent turning point that forced Twitter’s board to seriously consider the deal.
After meeting to evaluate Musk’s offer, the board released a statement on Monday saying: “The Twitter Board conducted a thoughtful and comprehensive process to assess Elon’s proposal with a deliberate focus on value, certainty, and financing,” Twitter independent board chair Bret Taylor said in a statement, calling the deal ” the best path forward for Twitter’s stockholders.”
If approved by shareholders and regulators, Musk will take the company from public to private and will put him in charge of one of the world’s most influential social media platforms.
