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Elon Musk Offers $43bn To Take Over Twitter

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The chief executive officer of Tesla, Elon Musk, has offered to buy micro-blogging and social media platform, Twitter, for $43billion.

Musk made the announcement in a filing with the U.S. Securities and Exchange Commission on Thursday.

The billionaire will offer 54.20 per share in cash, representing a 54 per cent premium over the January 28 closing price and a value of about $43billion.

In a letter to Twitter’s board, Musk said he believes Twitter “will neither thrive nor serve [its free speech] societal imperative in its current form. Twitter needs to be transformed as a private company.”

Musk had first disclosed a stake of about nine per cent on April 4. On March 24, the 50-year-old ran a poll asking whether or not Twitter’s algorithm should be open source.

Musk later asked whether or not Twitter rigorously adheres to the principle of free speech. After the majority replied ‘no’, he asked whether a new networking site was needed, disclosing he was considering starting his own. He also recommended that removing ads, Twitter’s main source of revenue.

The billionaire tech entrepreneur is a frequent Twitter user, regularly mixing in inflammatory and controversial statements about issues or other public figures with remarks that are whimsical or business-focused.

He has also sparred repeatedly with federal securities regulators, who cracked down on his social media use after a purported effort to take Tesla private in 2018 fell apart. He was offered a seat on the board but turned it down at the weekend.

Musk’s move comes after he tweeted Saturday asking whether the social media network was “dying” and to call out users such as singer Justin Bieber, who are highly followed but rarely post.

“Most of these ‘top’ accounts tweet rarely and post very little content,” the Tesla boss wrote, captioning a list of the 10 profiles with the most followers — which includes himself at number eight, with 81 million followers.

“Is Twitter dying?” he asked.

In other weekend tweets, Musk posted joke polls on whether to drop the “w” from Twitter’s name and on converting its San Francisco headquarters to a homeless shelter “since no one shows up anyway.

“Twitter has extraordinary potential. I will unlock it,” he said.

Currently the world’s richest man and with more than 80 million followers on the microblogging platform, Musk last week disclosed a purchase of 73.5 million shares — or 9.2 percent — of Twitter’s common stock. His announcement sent Twitter shares soaring more than 25 percent.

“However, since making my investment I now realize the company will neither thrive nor serve this societal imperative in its current form,” he said.

“Twitter needs to be transformed as a private company. As a result, I am offering to buy 100 per cent of Twitter for $54.20 per share in cash, a 54 per cent premium over the day before I began investing in Twitter.”

Musk, Twitter’s biggest shareholder, said his “offer is my best and final offer” and he would reconsider his position as a shareholder if it was rejected.

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