Elon Musk became Twitter’s largest shareholder last week, owning around 9% of the company. He was then going to join the board, which meant he couldn’t own over 14.9% of the company. He then pulled out of that role. Now, in another turn of events, on Thursday, the man, who’s worth around US$260 billion, has offered to buy the company for US$43 billion at US$54.20 per share, calling it his “best and final” offer. The company’s shares increased by 18%.
“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,” wrote Musk. “However, 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.
As a result, I am offering to buy 100% of Twitter for $54.20 per share in cash, a 54% premium over the day before I began investing in Twitter and a 38% premium over the day before my investment was publicly announced. My offer is my best and final offer and if it is not accepted, I would need to reconsider my position as a shareholder. Twitter has extraordinary potential. I will unlock it.”
“I think it’s very important for there to be an inclusive arena for free speech," said Musk at a TED Talk in Vancouver.