Twitter Poised To Accept Elon Musk’s Acquisition Offer, Reports Say

Topline

Twitter close to a deal to be sold to Elon Musk, Bloomberg and Reuters reported. The announcement could come as early as Monday.

Elon Musk, a billionaire, speaks at an event hosted by Tesla earlier in the month.

AFP via Getty Images

Here are some key facts

Twitter is considering accepting Musk’s original offer to pay $54.20 per share in cash, according to Reuters and the Wall Street JournalThe social media company is valued at approximately $43 billion

It is possible that the agreement could collapse in the last stages of negotiation. Wall Street Journal According to Reuters, Twitter could make the deal official Monday, after it meets with its investors.

Twitter shares jumped 4.7% to $51.25 in pre-market trading, continuing the stock’s gains since Musk’s bid for the company became public earlier this month.

Twitter didn’t immediately reply SME’ request for comment.

The Key Background

Musk, the CEO of Tesla and SpaceX, became Twitter’s largest shareholder April 4 when he purchased a 9.2% stake in the company for $2.89 billion. Twitter’s board had openly resisted a sale to Musk previously, adopting a poison pill April 15 to prevent a hostile takeover from Musk, though the Wall Street Journal reported Sunday the board was warming to Musk’s offer. Musk revealed in an SEC filing that he had secured funding of $46.5 billion for his Twitter bid. Musk’s 83 million followers make him one of the most popular Twitter users and he has been a frequent critic of Twitter, openly questioning if the company’s policies infringe on freedom of speech.