The world’s richest person, Elon Musk, has offered to completely buy off Twitter and transform it into a private company.
Twitter Inc. said in a regulatory filing on Thursday that Musk, who is currently the company’s biggest shareholder, has proposed buying the remaining shares of the social media application at $54.20 per share, an offer worth more than $43 billion.
That amounts to $54.20 per share, up 38% on the price per share before Musk bought over 9% of Twitter shares on April 1. Twitter’s share price jumped in pre-market trading, already approaching the value Musk had offered.
According to Musk, that price is his best and final offer, he added that if it is not accepted, he would need to reconsider his position as a shareholder.
He said “I invested in Twitter as I believe in its potential to be the platform for free speech around the globe, and I believe free speech is a societal imperative for a functioning democracy. However, since making my investment I now realize the company will neither thrive nor serve this societal imperative in its current form. Twitter needs to be transformed as a private company.
“As a result, I am offering to buy 100% of Twitter for $54.20 per share in cash, a 54% premium over the day before I began investing in Twitter and a 38% premium over the day before my investment was publicly announced. My offer is my best and final offer and if it is not accepted, I would need to reconsider my position as a shareholder.”
Twitter said it has received Musk’s offer and will decide whether it is in the best interests of shareholders to accept or continue to operate as a publicly-traded company.
Musk had earlier said he had abandoned a plan to join Twitter’s board, just as his tenure was about to start. Taking the board seat would have prevented him from a possible takeover of the company.