Tuesday, May 17, 2022

Elon Musk buys Twitter For $ 44 Billion

Elon musk has bought Twitter for $44bn (£34.5bn) after the directors at Twitter accepted takeover offer from the billionaire Elon Musk who made the shock bid less than two weeks ago. He said he would unlock the “tremendous potential” Twitter has.

The transaction is now subject to a shareholder vote. The firm initially rebuffed Mr Musk’s bid, but it will now ask shareholders to vote to approve the deal.

Musk is the world’s richest person, according to Forbes magazine, with an estimated net worth of $273.6bn mostly due to his shareholding in electric vehicle maker Tesla which he runs. He also leads the aerospace firm SpaceX.

Discussions over the deal, which last week appeared uncertain, accelerated over the weekend after Musk wooed Twitter shareholders with financing details of his offer. Under pressure, Twitter started negotiating with Musk to buy the company at the proposed $54.20 per share price.

MUST READ  Elon Musk eyes Indian market; Tesla starts R&D unit in Bengaluru

“Free speech is the bedrock of a functioning democracy, and Twitter is the digital town square where matters vital to the future of humanity are debated,” Musk said in a statement. He also called for a series of changes from relaxing its content restrictions to eradicating fake accounts.

Shares were up about 6% following the news. The deal represents a near 40% premium to the closing price the day before Musk disclosed he had bought a more than 9% stake. Even so, the offer is below the $70 range where Twitter was trading last year.

In a prepared statement the company said Musk secured $25.5 billion of debt and margin loan financing and is providing a $21 billion equity commitment.

MUST READ  US witnesses three mass shootings during Easter weekend

It was not immediately clear what the breakup fee would be or who would run the new company.

MUST READ  Swimming with diversity: Australian Healthcare Week

Although it is only about a tenth of the size of far larger social media platforms like Meta Platforms Inc’s Facebook, it has been credited with helping spawn the Arab Spring uprising and accused of playing a role in the January 6, 2021, storming of the U.S. Capitol.

After Twitter banned former President Donald Trump over concerns around incitement of violence following last year’s U.S. Capitol attack by his supporters, Musk tweeted: “A lot of people are going to be super unhappy with West Coast high tech as the de facto arbiter of free speech.”

Latest news

How’s thaatttt ! Minister XI vs High Commissioner XI Community Cricket Match

By Fiji Times Team Sydneysiders attended one-of-a-kind Minister XI vs High Commissioner XI Community Cricket Match organised by Australian-Indian Sports Educational and Cultural Society (AISECS,...

Masks may be back as COVID-19, flu surge across Australia

Doctors are pushing for indoor mask mandates to be introduced as COVID-19 numbers surge in several Australian states. Earlier this week Australian Medical Association (AMA) president...

NSW mayor stabbed in violent home invasion

An NSW mayor is in hospital after a group of intruders forced their way into his house and stabbed him. Police were told five to six men broke...

Plastic bag ban in NSW from June 1

New South Wales will from next month join the rest of Australia in banning single use plastic bags - with more bans to come later...

Related news

How’s thaatttt ! Minister XI vs High Commissioner XI Community Cricket Match

Masks may be back as COVID-19, flu surge across Australia

Doctors are pushing for indoor mask mandates to be introduced as COVID-19 numbers surge in several Australian states. Earlier this week Australian Medical Association (AMA) president...

NSW mayor stabbed in violent home invasion

An NSW mayor is in hospital after a group of intruders forced their way into his house and stabbed him. Police were told five to six men broke...

Plastic bag ban in NSW from June 1

New South Wales will from next month join the rest of Australia in banning single use plastic bags - with more bans to come later...

DC defeat Punjab Kings, Capitals in top four now

DC spinners Axar Patel and Kuldeep Yadav delivered in the middle overs as Shardul  Thakur alone complemented the duo with 4 wickets as Delhi...

Ukrainian soldiers claim reaching Russian Border; UK Intel says Russian army losing steam

The United Kingdom's Ministry of Defence has released an update on the situation in Ukraine where it has stated that Russian forces have suffered...

Chief Secretaries’ meet likely to be held at Dharamshala in June

Chief Executive officer (CEO) of NITI Aayog Amitabh Kant called on Chief Minister Jai Ram Thakur in Shimla on Monday. Discussions were held about organizing...

LABOR CARES FOR THE ELDERLY SOUTH ASIAN COMMUNITY IN NSW

An Albanese Labor Government will help deliver better aged care services for the South Asian community in New South Wales by investing in aged...