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Twitter board approves Elon Musk takeover

Twitter board approves Elon Musk takeover

Twitter board of directors on Tuesday unanimously approved Elon Musk’s $44 billion buyout offer, according to a Security and Exchange Commission filing.

Shares of Twitter rose slightly by less than 1% in the early morning hours on Tuesday, selling for about $38 a share – well below the $54.20 per share tender offer from Musk.

If the deal were to close now, investors in the company would pocket a profit of $15.22 for each share they own.

The regulatory filing comes just days after Musk held a virtual, all-hands meeting with Twitter employees — the latest sign that the world’s richest man is serious about following through on his acquisition plans.

Last month, Musk said he was putting the deal “on hold” pending a review of Twitter’s policies as it relates to bots and spam accounts.

Musk threatened to cancel the deal unless Twitter offered definitive proof that less than 5% of its daily users are spam and bot accounts.

In recent statements, Musk said that he estimated that as much as 20% of Twitter’s 229 million users are spambots – four times the figure touted by the company.

In a filing with the SEC on Tuesday detailing a letter to investors, Twitter’s board of directors said that it “unanimously recommends that you vote (for) the adoption of the merger agreement.”

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