Twitter and Elon Musk are finalizing a deal for the Tesla CEO to buy the social media giant, according to reports.
The New York Times reported late Sunday that Twitter was nearing a deal to accept the Tesla CEO’s bid to acquire the company and take it private, and that a deal could be announced as soon as Monday. Reuters reported Monday morning that Twitter was “poised to agree to a sale” to Musk.
The news comes after weeks of back and forth regarding the future of Twitter. Musk obtained a 9.2 stake percent in the company and was appointed to its board of directors before declining the board seat. He then put in a bid to buy the company for around $43 billion.
Musk has openly criticized Twitter and believes he can improve the social media company through private ownership.
“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,” Musk wrote in a filing with the SEC. “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.”
Twitter showed some pushback to Musk’s unsolicited bid to buy the company and implemented a “poison pill,” which would allow shareholders to buy additional shares at a discounted price if any entity or person acquires 15 percent or more of the company without board approval, in response to Musk’s bid nearly two weeks ago.
Now, it looks like Twitter’s giving in.
