Elon Musk, CEO of Tesla, has purchased the microblogging network Twitter, following a Sunday meeting with personnel from both firms that lasted until the early hours of Monday morning.
Elon Musk had raised $46.5 billion for the acquisition and proposed $54.20 per share, prompting Twitter’s 11 board members to reverse their earlier decision to resist the acquisition and re-evaluate the deal.
As a result of the increasing speculation about the takeover, the company’s shares rose 4% on Monday.
However, after several hours of consideration, a deal has been struck to sell the microblogging network to Mr Musk, who is presently the company’s largest shareholder, having just purchased over 73 million shares.
“I don’t believe that the proposed offer by Elon Musk ($54.20) comes close to the intrinsic value of Twitter given its growth prospects. Being one of the largest & long-term shareholders of Twitter, Kingdom Holding Company & I reject this offer,” Mr Al Saud said in a tweet on Thursday.
The Tesla CEO has often criticized Twitter’s policies over targeted misinformation, calls for violence, harassment and conspiracy theories. He has often been accused of manipulating the markets using his tweets.
In a memo sent to employees on Monday, Twitter CEO, Parag Agrawal, announced the takeover of the platform by Elon Musk.
The Twitter Board has announced it has entered into an agreement for Twitter to be acquired by a private entity fully owned and controlled by Elon Musk. I know this is a significant change and you’re likely processing what this means for you and Twitter’s future. I will be gathering the company together at 2pm pacific to speak with you directly and answer your questions. I have also invited our Chairman of the Board, Bret Taylor, to join us. See you there.
Always #OneTeam, Parag.”