Elon Musk has closed the deal with Twitter to buy them for $44b. INSTANTLY fires CEO and other top executives at the company. Reports show CFO, but unconfirmed.
What it means: The deal gives Musk sole control of Twitter and moves them from a publicly traded company to privately owned. Which means less regulation and more control, obviously, of what Twitter does as a company and their growth.
- CEO Parag Agrawal, CFO Ned Segal, and general counsel Sean Edgett all reportedly were fired.
- Vijaya Gadde was also fired, Twitter’s head of legal, policy and trust. Previous CEO and Founder Jack Dorsey had put her in charge of major user account decisions like the one to permanently ban former President Trump (his account remains suspended as of this writing).
History: Musk began buying up small parts of Twitter as far back as March, and slowly started buying up more. Eventually, joked about buying Twitter but then decided he actually wanted to.
By the end of April, he has signed a letter of intent to buy the company. Quickly started doubting the legitimacy of their balance sheet and user account. Some people are calling it a play to lower the price, but whether that’s true or not we don’t know. He bought it for the same price it was offered before he started doubting.
- During most of this time, Twitter’s stock traded well below Musk’s $54.20 per share takeover offer. It closed under $40 as late as Sept. 6.
What’s Next: There are currently no reports of what Elon plans to do. Some reports speculate gaming, VR, Ecommerce, or just going full uncensored which we are fans of since you know—unbiased & unfiltered.
The big picture: Musk assumes control of Twitter about 2 weeks before midterms. The largest and next election cycle after the presidential election, so should be a good show.
