Twitter has accepted a $44bn buyout offer from Tesla tycoon Elon Musk which takes the firm into private ownership.
Musk has been angling for a takeover of the firm since revealing a nine per cent stake earlier this month, and Twitter bosses confirmed today that they had give the deal the greenlight.
Bret Taylor, Twitter’s Independent Board Chair, said, “The Twitter Board conducted a thoughtful and comprehensive process to assess Elon’s proposal with a deliberate focus on value, certainty, and financing.
“The proposed transaction will deliver a substantial cash premium, and we believe it is the best path forward for Twitter’s stockholders.”
Under the terms of the agreement, Twitter shareholders will get $54.20 in cash for each share of Twitter common stock that they own upon closing of the deal.
The purchase price represents a 38 per cent premium to Twitter’s closing stock price on April 1, 2022, which was the last trading day before Mr. Musk disclosed his approximately nine per cent stake in the firm.
Parag Agrawal, Twitter’s CEO, said, “Twitter has a purpose and relevance that impacts the entire world. Deeply proud of our teams and inspired by the work that has never been more important.”
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Twitter accepts Musk’s $44bn buyout deal