On Tuesday, June 21, 2022, Twitter’s board of directors unanimously approved a $44 billion acquisition offer for Elon Musk, according to an SEC filing.
Twitter’s share price rose about 1% Tuesday morning. It is priced at $38 per share. That’s lower than Elon Musk’s $54.20 per share offer.
After Musk held a virtual meeting with Twitter employees, a regulatory filing was filed. This is a sign that the richest man in the world Elon Musk is serious about his plans to acquire the social media company. previously Last month, Musk said he was suspending the deal pending a review of Twitter’s policies on bots and spam accounts.
Musk has threatened to cancel the purchase agreement unless Twitter offers clear evidence that less than 5% of its daily users are spam accounts and bots. In a recent statement, Musk said he estimated that 20% of Twitter’s 229 million users were spambots. which is four times the figure the company has stated.
In a filing with the SEC on Tuesday detailing a letter to investors Twitter’s board said it was “unanimously recommended to vote for acceptance of the merger agreement.”
which if this purchase agreement can be closed now Investors in the company immediately receive a profit of $15.22 per share they own.
Moreover, Twitter co-founder Jack Dorsey stepped down as CEO last year. Twitter will earn $978 million, current Twitter CEO Parag Agrawal in San Francisco will earn $42 million, and CFO Ned Segal will earn more than $25.5 million when Musk takes over.