The purchase price represents a 38 per cent premium to Twitter’s closing stock price on April 1, which was the last trading day before Musk disclosed his nearly nine per cent stake in Twitter. As you no doubt know by now, in March of 2020 Elon Musk began making serious moves towards, at first just. Twitter CEO Parag Agrawal and Mr Musk did not see eye to eye On 14 April, the billionaire publicly stated that he wanted to buy Twitter - lock, stock and barrel. Upon completion of the transaction, Twitter will become a privately-held company. Parag was CEO for about three months before Elon Musk turned his entire world upside down. Now, a report reveals that Musk found Agrawal lacking a key leadership quality and that was the reason he fired him a few days after taking over Twitter. Twitter has entered into a definitive agreement to be acquired by an entity wholly owned by Musk for $54.20 per share in cash in a transaction valued at nearly $44 billion. Elon Musk fired several employees of Twitter, including its then-CEO Parag Agrawal, after he took over the microblogging platform in a 44 billion deal in October 2022. Twitter’s board chair Bret Taylor would receive a payout of just over $3 million and former board chair Omid Kordestani would get $50.6 million in his payout, the report mentioned. The chief legal officer Vijaya Gadde would get $12.4 million, whereas Twitter’s chief customer officer Sarah Personette would receive $11.2 million. The company’s CFO Ned Segal would receive $25.4 million if leaves the company. Musk’s fortune has tumbled more than $100 billion this year as Tesla’s stock crashes from its pandemic peak.Current CEO Parag Agrawal will receive nearly $39 million due to a clause in his contract.Īgrawal’s total compensation for 2021 was $30.4 million, largely in stocks. We estimate Musk to be worth $221.5 billion, making him the wealthiest person on the planet by $62 billion. Investors betting on the deal going through make out like bandits, including billionaire Carl Icahn, who the Wall Street Journal reports stands to profit as much as $250 million after buying up more than $500 million in Twitter shares at about $35 this summer. Twitter stock traded as low as $32 this summer as doubts about the deal ever closing peaked. “The $44 billion price tag for Twitter will go down as one of the most overpaid tech acquisitions in the history of M&A deals,” Ives said in a Thursday note to clients, estimating a $25 billion true market value for Twitter. Twitter and Musk did not respond to Forbes’ request for comment. Elon Musk has completed his acquisition of Twitter, and as expected, the Tesla founder fired four top executives at the company, including CEO Parag Agrawal.Musk’s decision is not surprising given he has publicly accused Agrawal of misleading him on the number of spam-bot accounts. A Bloomberg report last Thursday about the Twitter deal facing a possible national security review due to Musk’s friendliness with Russia briefly spooked investors on the likelihood of the deal going through, though the White House denies any such review is underway. Musk told Twitter October 3 he would move forward with the deal at the original terms, avoiding the Delaware trial originally slated to begin October 17. Now, a series of conversations between the Tesla CEO Elon Musk and top Twitter executives. In July, Musk formally attempted to back out of the deal, claiming the company knowingly misled him about the presence of bots on the site, prompting Twitter to file a lawsuit in Delaware’s Chancery Court to force through the acquisition. After formally taking over Twitter, Elon Musk sacked top executives including CEO Parag Agrawal. Twitter accepted Musk’s unsolicited bid for the company in April, valuing the company at $54.20 per share, about a 30% premium. Musk seemingly confirmed the deal would go through Wednesday when he changed his Twitter bio to “Chief Twit” and shared a video of him at the company’s headquarters, and the New York Stock Exchange suspended Twitter trading for Friday in anticipation of the deal closing. Musk and Twitter had a court-imposed Friday deadline to either close the acquisition or face a trial that could have resulted in a judge forcing him to buy Twitter. X app: Musk has said he may use his new $44 billion plaything to build out what he calls his X “everything app,” a mobile app which could bring together a variety of unrelated services like social media, messaging, food delivery and payments under the same umbrella, in the model of Tencent’s WeChat in China.
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