Twitter Inc will strike a deal to sell itself to Elon Musk for $54.20 per share in cash, the amount the Tesla CEO originally offered the social media giant and described as his best and last. The report, citing sources, added that Twitter could announce the $43 billion cash deal later Monday once its board of directors meets to recommend the deal to Twitter shareholders. Twitter and Musk initially did not comment on the development. The richest person in the world has personally negotiated the purchase of Twitter. Shares of Twitter rose 4.5% to $51.15 in premarket trading in New York on Monday, Reuters added. Musk said Twitter must remain private in order to develop into a true free speech platform.
Musk has been meeting with Twitter shareholders over the past few days to seek support for his bid. On Sunday, amid pressure from shareholders, Twitter Inc. entered into negotiations with Elon Musk. The Tesla and SpaceX boss made the offer earlier this month. Musk rocked Twitter after sharing his letter on the microblogging site. According to Reuters, several Twitter shareholders had reached out to the company, urging it not to pass up the opportunity for a deal. Twitter's board decided to work with Musk to gather more information on his ability to close the deal despite his "best and last" offer and potentially secure better terms, the sources added. The company's long-term shareholders, who own the majority of Twitter stock along with the index funds, have higher price expectations and are also more likely to give Parag Agrawal, who recently became Twitter's CEO, more time to increase the value of the company's shares. measures, the report says.
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