Twitter Accepts Elon Musk Buyout

UPDATE: The Twitter board has accepted Elon Musk’s $54.20 buyout.

The NY Times and Wall Street Journal are all reporting that the Twitter Board is nearing a deal with Elon Musk. Various reports suggest that a deal could be made today or sometime this week.

Elon Musk has made an offer to buy Twitter for $54.20 per share. Elon has also formed a holding company which might be used as part of the acquisition. Elon might allow up to 2000 current investors to take shares in a new private company that would hold Twitter. The details of how an acquisition would be done are still not determined. Also, there are reports the Twitter board want to have permission to shop the deal without having to pay Elon Musk a penalty if they can find a better offer.

I believe that Elon Musk will not agree to let them shop the deal. I believe that there are no other entities that want Twitter at better than $54.20 per share who can get this past antitrust restrictions or who actually have all of the financing.

SOURCES- NY Times, WSJ
Written by Brian Wang, Nextbigfuture.com