Elon Musk ready to buy Twitter for 44 billion (and shows up at the company headquarters with a sink)

The formalization of the acquisition of Twitter by Elon Musk is imminent (for the same amount as the first offer). The move to avoid ending up in court after a complaint from Twitter itself

NEW YORK – The Twitter saga comes to an end. Seven months of incredible stunts, forehead flips, hugs and stabs, should end today, or tomorrow morning at the latest, with the formalization of the purchase of the San Francisco social network by Elon Musk.

With the founder of Tesla and SpaceX, surprises are always around the corner, but this time everything seems to indicate that the deal is done. Closing the operation by 5pm on Friday, October 28 is the condition set by the Delaware court for cancel the trial based on the complaint filed by Twitter to force a recalcitrant Musk to buy the social network at the price he initially offered: 54.20 dollars per share, for a total outlay of 44 billion. A price that has become very high after the drastic downsizing of the stock market values ​​of technological stocks.




















































Musk on Monday instructed the bank consortium led by Morgan Stanley, Bank of America and Barcleys that six months ago had pledged to help buy Twitter with a $ 13 billion loan. prepare the money. Then it was the turn of the other investors who in recent months have agreed to support the richest man in the world in the acquisition of the social network: Larry Ellison of Oraclethe Saudi prince Alwaleed bin Talalthe Sovereign Fund of Qatar and the Chinese Binance, which operates a large cryptocurrency exchange. And, then, several financial investors such as Fidelity and Sequoia Capital. Musk’s lawyers on Tuesday sent all documents related to the acquisition and a request to hold the $ 7 billion they pledged to pay.

Musk

The other 24 will be placed by the billionaire he had yesterday moved his working domicile from SpaceX headquarters to Texas at social network headquarters in San Francisco and changed the header of his Twitter account which now reads: Chief Twit. Then, again yesterday, with one of his extravagant gimmicks, Musk showed up at the Twitter office taking with him a heavy kitchen sinkwhile the tweet appeared on his account: “Let the sink in“. Cryptic, enigmatic message: “sink” means sink but also to sink. A reference to the fact that he is forced to buy Twitter at too high a price? Easier than the reference is to a meme from a few months ago, when both the heads of the social network and the employees, almost all progressive, hostile to a new boss who flirts with the right and wants to turn the company like a glove, were on the barricades to keep him from entering. Musk commented that maybe he would wait for Halloween and come in disguised as a sink.

Elon entered a few days before the festival of the living dead (which will be Monday) and could speak to the workers as early as tomorrow, Friday. Epilogue of the most turbulent climb in recent years. The film of a battle that has been going on for most of 2022 is breathtaking: at first Musk has been secretly raking in 9% of Twitter’s equity for months. Then in April he launched a friendly takeover that soon became hostile. The managers barricaded themselves at the company headquarters and raised the drawbridge. But when, prompted by shareholders who found the offer of $ 54.20 per share tempting in a market for tech companies that was constantly losing ground, Twitter bosses reopened their doors and accepted his offer, they found that the besieger was gone.

Pursued by the social network’s lawyers, I decided to force him to conclude the transaction, Musk has turned his back on them: offer canceled with Twitter bosses accused of presenting him with a false picture of the company’s health. Too easy: Twitter has appealed to court to force Musk to buy it. As the trial date approached (starting October 17) Tesla’s lawyers warned the tycoon that he did not have good cards to play in the trial. Understanding that in court he would lose, at the beginning of October Musk makes yet another turn: he will buy Twitter by paying the price offered in April. The trial judge, who is asked by Musk to cancel the proceedings, allows only a brief postponement: hearings suspended until the end of October. If the Twitter purchase is not formalized by 5 pm on Friday 28 October, the process will begin in early November.

Musk admits he paid too much for Twitter, but he says he is confident, given that the company has great potential. Complicated mission: according to analysts today the paid social network is 44 billion, not worth more than 10 billion dollars. Users who use it continuously are decreasing and there is a bleeding among the most capable employees who go to work at Google or Facebook. Then there are Musk’s terrifying plan to eliminate three-quarters of Twitter’s current 7,500 employees (later denied, Bloomberg reported) and the White House malaise that it considers the owner of strategic assets such as Starlink satellites, SpaceX missiles. and Twitter itself is an unknown factor for US national security.

The battle for control of Twitter seems to end here. The one for its management has just begun.

October 27, 2022 (change October 27, 2022 | 10:48)

© REPRODUCTION RESERVED

Source link

About Eric Wilson

The variety offered by video games never ceases to amaze him. He loves OutRun's drifting as well as the contemplative walks of Dear Esther. Immersing himself in other worlds is an incomparable feeling for him: he understood it by playing for the first time in Shenmue.

Check Also

A scholarship week can be worth a whole year of waiting

The financial markets are the realm of surprises and if someone dares to have convictions, …

Leave a Reply

Your email address will not be published. Required fields are marked *