The world’s richest man Elon Musk completed the acquisition of Twitter on Monday with a $44 billion deal, capping a saga that began with hostile takeover threats. The deal gives him direct control of one of the world’s most popular social media platforms.
It is anticipated that Twitter’s board will unanimously approve the deal by year’s end. Earlier this week, Musk revealed he had arranged $46.5 billion in financing to acquire Twitter. This appears to have prompted the company’s board to consider the deal seriously. Earlier this week,
Elon Musk revealed he had arranged $46.5 billion in financing to acquire Twitter.
Earlier in the day, Dan Ives, an analyst at Wedbush Securities, predicted that Musk’s offer would likely be accepted since the board could not find another buyer. Musk last week secured $46.5 billion in financing to make the deal official.
Because Musk holds many Tesla shares rather than cash. The issue of financing was seen as a potential stumbling block despite his wealth.
In a filing, Musk cited a $13 billion loan from Morgan Stanley, a $12.5 billion margin loan from the same bank, and $21 billion in funds from his own fortune as the reasons for the deal.
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In spite of Twitter’s influence on culture and politics, Musk’s efforts have raised hopes about the company’s commercial potential.
Elon Musk & Twitter : Controversial history
A Twitter user with over 80 million followers, Mr. Musk himself has a controversial history on the platform.
In the year 2018, US financial regulators accused him of misleading Tesla investors with his tweets. A claim that was settled in a $40 million settlement, which Musk has since denied.
A defamation suit was filed against him in 2019 after he called a diver who rescued schoolboys in Thailand a “pedo guy” on an online platform. He won.
Mr. Musk wrote on Monday that he viewed Twitter as a forum for debate. Despite his history of clashes with journalists and blocking critics.
In an email to his followers just hours before the deal was announced, he wrote: “I hope even my worst critics remain on Twitter because free speech means.”