Twitter Shareholders To Meet Amid Elon Musk’s Takeover Drama
(CTN News) – Wednesday’s regular shareholder meeting will not include a vote on Elon Musk’s $44 billion bid for Twitter. The vote will take place at a yet-to-be-determined date in the future.
Even so, the drama surrounding his offer, almost all of it created by Musk himself, might spill over into today’s meeting.
Elon Musk had promised to eliminate Twitter’s annoying spambots if he took over the social media platform. Yet he has been arguing without presenting any evidence that perhaps there are just too many automated accounts for the deal to go forward.
Must Read: Elon Musk Says $44bn Twitter Deal is ‘Temporarily On Hold’ Over Fake Account Details
A sharp turnaround by the world’s richest man makes little sense except as a tactic to scuttle or renegotiate a deal that’s becoming increasingly costly for him, experts said last week. That all of this is taking place publicly on Twitter, no less, only adds to the chaos that’s played a key part in Elon Musk’s bid, even before he made it.
Earlier in May, the mercurial billionaire tweeted the deal was on hold because he wanted to determine the number of spam and fake accounts on Twitter after claiming that its estimate is too low.
Musk cannot unilaterally put the deal on hold, although he has been acting as if he can. He could be liable for a $1 billion breakup fee if he walks away. Elon Musk could also be sued by Twitter to force him to proceed with the deal, although experts believe this is highly unlikely.
In morning trading on Wednesday, Twitter shares were up 94 cents, or 2.6 percent, at $36.70. Musk is offering $54.20 per share.