[ad_1]
Twitter Inc and its advisers were not sure at first how seriously to take him.
Elon Musk’s $54.20-per-share offer price for the social media company on April 14 contained the digits 420, a reference to a trope for smoking marijuana. Financing documents he submitted last week in support of his bid were signed on April 20, abbreviated as 4/20.
Such references harken back to his 2018 “funding secured” tweet stating that he was considering taking electric car maker Tesla Inc private for $420 per share. Tesla and Musk subsequently agreed to pay $20 million each to settle charges that he misled investors.
READ MORE: Elon Musk buys Twitter | A timeline of the takeover saga
Musk said he rounded the price up to $420 because he had recently learned about the number’s significance in marijuana culture and thought his girlfriend would find it funny, “which admittedly is not a great reason to pick a price,” according to a U.S. Securities and Exchange Commission complaint filed at the time.
Discussions with Twitter turned serious, however, when the San Francisco-based company’s advisers, including bankers at Goldman Sachs Group Inc, JPMorgan Chase & Co and Allen & Co, started poring through Musk’s financing documents in support of his $44 billion bid on April 21.
Many of the biggest Wall Street banks, led by Morgan Stanley, Bank of America Corp and Barclays Plc, committed to providing $25.5 billion in debt, some of it secured against Twitter and some of it tied to Musk’s Tesla stock. Musk himself committed another $21 billion in cash.
Twitter’s board, which was still reviewing Musk’s bid after he had presented it with little detail a week earlier, went into overdrive. It rushed to complete an analysis to assign a value on its standalone plan which Parag Agrawal, five months into his role as Twitter chief executive, was delivering on. And it asked its bankers to triple-check if there was any other bidder who could offer more than Musk.
This account of how Musk’s deal for Twitter came together is based on interviews with four people familiar with the negotiations, who requested anonymity to discuss them.
Representatives for Musk, Twitter and the banks either declined to comment or did not respond to requests for comment.
Overseeing deal negotiations for Twitter was its board chairman Bret Taylor, who is also co-chief executive of Salesforce. It became clear to Twitter’s board directors there was no white knight, as technology and media companies fretted about the potential antitrust risk, while private equity firms could not saddle the company with enough debt to juice returns, given its limited cash flow.
Musk had said he did not care about the economics of the deal “at all” and was pursuing Twitter to advance free speech, disillusioned by many of its platform moderation decisions.
His bid was not rich by historical standards. While it came with a 38% premium to where Twitter shares were trading before April 4, when he emerged as a Twitter shareholder, the stock had traded higher than his offer for most of last year.
Twitter’s bankers projected, however, that even if the company did as well as last year, investors would value it less, because the advertising market in the social media world had become more price-competitive. The board did not believe Agrawal could bring the stock back to $54.20 anytime soon.
That view was shared by many Twitter shareholders, including big active mutual funds, who reached out to Twitter after Musk showed he had financing for his offer. These shareholders asked the company not to let the opportunity for a deal slip away.
If Twitter ignored Musk, some of the investors threatened to side with him in a tender offer that he had said he was exploring. A poison pill that Twitter had adopted would protect the company from a takeover, but it would not spare it from publicly losing the support of its shareholders.
BLEAK BACKDROP
The stars aligned for Musk in more ways. Technology stocks plunged for most of April amid concerns over inflation and an economic slowdown – a bleak backdrop for Twitter.
Musk also had some allies on Twitter’s board. Egon Durban, the co-head of private equity firm Silver Lake who partnered with Musk on his abandoned bid for Tesla, serves on Twitter’s board. Jack Dorsey, another board director and the company’s former CEO, shares Musk’s passion for cryptocurrencies and has often exchanged compliments with him online.
“Elon is the singular solution I trust. I trust his mission to extend the light of consciousness,” Dorsey tweeted on Monday, adding that taking Twitter “back from Wall Street is the correct first step.”
Twitter’s advisers met with Musk on Sunday and tried to convince him to raise his offer, but he stuck to his position that the $54.20-per-share offer was his “best and final”.
As a small concession, Musk agreed to offer Twitter a chunky break-up fee in the event he changed his mind and walked away. The exact fee is expected to be disclosed in regulatory filings on Tuesday.
In the small hours of Monday, the two sides agreed to a deal, and Twitter’s board met to approve it later in the day. Twitter shares, which had ended trading at $45.08 the day that Musk unveiled his bid, closed at $51.70, only a small discount to the deal price.
Four years after walking away from a $72 billion acquisition of Tesla he once contemplated, the world’s richest person now has a mega deal to brag about.
“I hope that even my worst critics remain on Twitter, because that is what free speech means,” Musk tweeted on Monday.
[ad_2]
Source link
propecia 1mg There was no immediate sign that the damaged car that was lifted to check for victims had left the tracks
comprar cialis online Am J Kidney Dis 27 42 47
tablet for allergy on skin behind the counter allergy medicine prescription only allergy medication
buy deltasone online buy prednisone 10mg generic
list of prescription nausea medicine order irbesartan online
acne medications list best prescription topical for acne dermatologist recommended acne products
best cold medicine without antihistamine phenergan us costco canada cold and sinus
common heartburn medication prescription zidovudine over the counter
isotretinoin drug accutane 10mg generic isotretinoin oral
amoxicillin 1000mg uk order generic amoxil 250mg buy amoxil 1000mg pills
zithromax 250mg cost buy zithromax 500mg pill buy zithromax 500mg generic
generic gabapentin 100mg neurontin 600mg cheap
azithromycin sale azithromycin brand buy azithromycin online
buy furosemide 100mg sale buy generic furosemide over the counter
buy generic omnacortil over the counter order omnacortil 5mg online prednisolone 40mg without prescription
buy amoxil buy amoxicillin 250mg online order amoxicillin 250mg
doxycycline 100mg usa vibra-tabs order online
buy asthma pills onlin order ventolin inhaler cost albuterol 4mg
synthroid 150mcg price synthroid 100mcg sale generic synthroid 150mcg
order vardenafil 10mg online vardenafil generic
serophene for sale oral clomiphene clomiphene online
buy rybelsus medication order semaglutide 14 mg online cheap order semaglutide 14mg for sale
strongest over the counter antihistamine order ventolin 2mg for sale buy albuterol generic
buy clavulanate online cheap where to buy augmentin without a prescription oral augmentin 625mg
levothyroxine cost purchase levoxyl sale levothroid online
order clomid 50mg online cheap buy clomiphene 100mg online buy serophene online cheap
buy sildenafil 50mg for sale sildenafil 50mg for sale sildenafil 50mg without prescription
semaglutide 14 mg cost order rybelsus 14 mg without prescription order rybelsus without prescription
purchase plaquenil generic order plaquenil 200mg online cheap hydroxychloroquine medication
purchase triamcinolone generic triamcinolone 4mg uk buy aristocort 10mg generic
cialis overnight shipping usa cialis cheap cialis 20mg oral
buy generic cenforce order cenforce 100mg pills cenforce 100mg sale
chloroquine ca how to get aralen without a prescription chloroquine medication
buy metformin 1000mg for sale generic glycomet 500mg buy glucophage online
order acyclovir for sale order allopurinol sale buy zyloprim pill
order amlodipine online cheap buy amlodipine without a prescription buy norvasc paypal
zestril 10mg usa zestril medication generic lisinopril
rosuvastatin cheap buy crestor 10mg online ezetimibe online order
generic lopressor 50mg lopressor where to buy lopressor 100mg ca
order flexeril pills baclofen 10mg brand purchase lioresal pills
ketorolac price where can i buy gloperba order colchicine 0.5mg sale
tenormin medication buy generic tenormin online tenormin where to buy
depo-medrol pills methylprednisolone 8 mg otc medrol 4mg tablet
help writing research paper term papers writing pay for paper writing
meloxicam for sale order celecoxib generic brand celecoxib
buy esomeprazole 40mg online esomeprazole 40mg cost order topiramate generic
buy tamsulosin pills for sale buy celecoxib paypal order generic celecoxib 100mg
zofran for sale online where to buy aldactone without a prescription order aldactone 100mg sale
simvastatin for sale online buy simvastatin online cheap valtrex pills
finasteride 1mg sale buy fluconazole without a prescription order diflucan without prescription
where to buy acillin without a prescription acticlate order online how to buy amoxicillin
purchase propecia for sale propecia 5mg generic where to buy diflucan without a prescription
buy cipro generic – buy bactrim 960mg buy augmentin 1000mg sale
buy ciprofloxacin 1000mg generic – cephalexin 125mg generic buy augmentin 375mg pills
ciplox 500mg usa – trimox 500mg without prescription
buy erythromycin 250mg pill
buy metronidazole 200mg generic – order metronidazole 400mg generic azithromycin 250mg uk
ivermectin for covid – sumycin 250mg for sale tetracycline for sale
buy ivermectin online – buy co-amoxiclav pills for sale purchase tetracycline pills
order valacyclovir generic – buy mebendazole 100mg online acyclovir 400mg price
ampicillin us penicillin brand cheap amoxicillin tablets
buy cheap flagyl – buy amoxicillin generic buy zithromax pills
furosemide usa – buy prazosin 2mg pills order captopril 25 mg sale
glucophage order – buy trimethoprim no prescription lincocin 500mg usa
buy generic clozapine over the counter – accupril pills order famotidine 40mg generic
zidovudine tubes – order allopurinol 300mg online order allopurinol sale