Twitter has agreed to be acquired by Elon Musk. The purchase price amounts to around 44 billion US dollars.
Tesla boss Elon Musk buys the short message service Twitter. After that, the company should be delisted, it said in a press release dated April 25, 2022. After a brief period of resistance, Twitter has thus accepted Musk's offer of April 14, 2022.
Musk had named around $44 billion as the first and only offer - which means that the purchase price per share is $54.20. The shares were valued lower at the time - so a good deal for the owners, unless they assumed a significantly higher valuation in the future. The price is 38 percent higher than the price on April 1, 2022.
Musk had already taken over 9.2 percent of Twitter shares at the beginning of April 2022 and wanted to join the board of directors and influence the entrepreneurial course of the short message service. That plan was abandoned, though it's not yet clear if Musk turned down the board post. Shortly thereafter, Musk made his purchase offer public. Last week, Twitter's board of directors tried to prevent a takeover by the richest man in the world.
Musk said of the acquisition, "Freedom of expression is the bedrock of a functioning democracy, and Twitter is the digital marketplace where important issues affecting the future of humanity are discussed. I also want to make Twitter better than ever by bringing the product expanded with new features, and open-source algorithms to increase trust, defeat the spambots, and authenticate everyone Twitter has tremendous potential - I look forward to working with the company and the user community to unlock it ."
So far, Musk has used Twitter for his PR activities, but there are also some eccentric statements. Musk had already announced there that he would take Tesla private and that he had the financing for it in the towel, which caused him considerable trouble from the US Securities and Exchange Commission.
Musk's tweets sometimes have an impact worth millions, for example when he lets the value of cryptocurrencies skyrocket - or sends that of his own company Tesla to the basement.
At times, Musk obviously uses Twitter as a source of inspiration for product improvements and business ideas. It even seems that Musk was interested in taking over Twitter when a user asked. Moderator Dave Smith told Musk in late December 2017 that he should buy it after he said he loved Twitter. Musk asked on December 21, 2017, what that would cost.