Twitter isn’t backing down from Elon Musk’s $44 billion acquisition.
The company’s board has “unanimously recommended” that its shareholders vote to approve the acquisition.
In a filing with the Securities and Exchange Commission, it reads, “The Twitter Board, after considering various factors described in the section of this proxy statement captioned “The Merger— Recommendation of the Twitter Board and Reasons for the Merger,” has unanimously: (1) determined that the merger agreement is advisable and the merger and the other transactions contemplated by the merger agreement are fair to, advisable and in the best interests of Twitter and its stockholders; and (2) adopted and approved the merger.”
Twitter is expected to go private in 2022 at $54.20 per share.
Musk has pledged $33.5 billion in equity financing and has received multiple commitments, including Morgan Stanley Senior Funding Inc.
Financial institutions have combined to reach $13 billion in debt financing for Musk.
Musk says his goal is to make Twitter as inclusive as possible.
“Ideally I’d like to get like 80% of North America and perhaps, I don’t know, half the world or something ultimately on Twitter in one form or another,” he explained. “And that means it must be something that is appealing to people. It obviously cannot be a place where people feel uncomfortable or harassed, or they’ll simply not use it.”
More form Fox News:
The filing comes as Musk said in an interview Tuesday at the Qatar Economic Forum that shareholder approval was one of three “unresolved matters” that stands in the way of the deal…
He also said that he is waiting for a resolution to his dispute with Twitter over the total percentage of spam and fake accounts on the platform, which he called “a very significant matter.” Though Twitter has maintained that spam and fake accounts make up less than 5% of its users, Musk believes the figure is at least 20%.
Earlier this month, Twitter reportedly agreed to hand over a “firehose” of data to Musk after he threatened to walk away from the deal. He claimed that the company breached its obligations under the merger agreement by ‘actively resisting and thwarting’ his right to information on the spam and fake account data.
He added that his focus at Twitter would be on driving the product and technology, similar to his roles at Tesla and SpaceX.
“Whether I’m called the CEO or something else is much less important than my ability to drive the product in the right direction,” he said.