With 80 million followers, Tesla boss Musk is one of the most popular Twitter users. Most recently, Musk wanted to buy the platform. But Twitter is fighting back.
Twitter is taking countermeasures to resist a takeover by tech billionaire Elon Musk. The plan provides that other shareholders can buy additional shares cheaply if a buyer exceeds the 15 percent mark.
The move is a classic “poison pill” that companies threatened by takeovers often resort to. The measure should apply for one year, the board of directors announced on Friday.
Musk announced Thursday an offer to all Twitter shareholders to buy shares at a price of $54.20. The 50-year-old argued that Musk wanted to delist Twitter after a takeover because that was the only way the service could exploit its potential as a platform for free speech.
Musk recently unsure about the success of the deal
The tech billionaire himself previously expressed doubts about whether his attempt at a hostile takeover of Twitter would succeed. “I’m not sure I’ll actually be able to buy it,” admitted the head of electric car maker Tesla at a conference appearance. However, the 50-year-old emphasized that he had the necessary funds to pull off the $40 billion deal.
Musk has already bought a 9.2 percent stake in the past few weeks. Investors on the stock exchange do not believe that Musk will reach his goal: In New York trading, the share price fell by around 1.7 percent to the $ 45 mark at mid-day.
Source: Stern
Jane Stock is a technology author, who has written for 24 Hours World. She writes about the latest in technology news and trends, and is always on the lookout for new and innovative ways to improve his audience’s experience.
