Tech billionaire Elon Musk nears a deal to acquire Twitter at USD 54.20 per share, amounting to roughly USD 44 billion.
The transaction was approved by the social media company’s Board of Directors and has begun working out the terms and conditions of the agreement. Meanwhile, Musk has secured USD 25.5 of “fully committed debt and margin loan financing” and committed USD 21 billion of his own equity to finance the takeover.
“The Twitter Board conducted a thoughtful and comprehensive process to assess Elon’s proposal with a deliberate focus on value, certainty, and financing. The proposed transaction will deliver a substantial cash premium, and we believe it is the best path forward for Twitter’s stockholders,” said Bret Taylor, Twitter’s Independent Board Chair.
Musk’s USD 54.20 offer is an almost 40% premium on Twitter’s closing stock price. The world’s richest man believes in Twitter’s potential to be “the platform for free speech around the globe.”
Also Read: Elon Musk turns down board seat at Twitter
His plans for the social media company include “enhancing the product with new features, making the algorithms open source to increase trust, defeating the spam bots, and authenticating all humans.”
