Twitter's Board Unanimously Recommends Deal With Musk

But his purchase of the platform still has a long way to go
By Newser Editors and Wire Services
Posted Jun 21, 2022 10:40 AM CDT
Twitter's Board Unanimously Recommends Deal With Musk
Elon Musk's bid for Twitter is still alive.   (Patrick Pleul/Pool via AP, File)

The pendulum on the Elon Musk-Twitter courtship has swung from no way to it's happening to it's off to maybe it's on again. A development Tuesday keeps it squarely in the "maybe" camp. Twitter's board recommended unanimously that shareholders approve the proposed $44 billion sale of the company to the billionaire and Tesla CEO, according to a regulatory filing Tuesday. Musk reiterated his desire to move forward with the acquisition last week during a virtual meeting with Twitter employees, though shares of Twitter remain far below his offering price, signaling considerable doubt that it will happen, per the AP.

On Tuesday at the Qatar Economic Forum, Musk listed the approval of the deal by shareholders as one of several "unresolved matters" related to the deal. That's now checked off. Shares of Twitter were about $38 Tuesday, far short of the $54.20 per share that Musk has offered to pay. The company's stock last reached the higher level on April 5 when it offered Musk a seat on the board before he'd offered to buy all of Twitter.

In a filing with the Securities and Exchange Commission detailing a letter to shareholders, Twitter's board said it "unanimously recommends that you vote (for) the adoption of the merger agreement." If the deal were to close now, investors in the company would pocket a profit of $15.22 for each share they own. (Musk's 18-year-old trans daughter just made a public break with him.)

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