Here is why it will be difficult for Elon Musk to buy Twitter
The bitterly named plan, which is actually called a “shareholder’s rights plan,” would allow shareholders other than Musk to buy additional stock at a discounted price, flooding the market with shares that would then trade at a premium. That would make it difficult for Musk, who already owns more than 9 percent of the company, to get a much higher stake without spending a lot more money.The poison pill only goes into effect if Musk takes more than a 15 percent stake in the company.
The board also has to answer to shareholders, and some have already expressed their displeasure at Musk’s bid.
United States Latest News, United States Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Elon Musk Wants to Buy 100% of Twitter in Hostile TakeoverMusk is threatening to sell his existing 9.2% stake in the company if his offer is rejected.
Read more »
Elon Musk Offers to Buy Twitter, Says Company ‘Needs to Be Transformed'Twitter Inc. said in a regulatory filing on Thursday that Musk provided a letter to the company on Wednesday with a proposal to buy the remaining shares of Twitter that he doesn’t already own.
Read more »
Elon Musk offers to buy Twitter for $43 billion in cashBREAKING: Elon Musk has offered to buy Twitter for $54.20 a share in cash, or about $43 billion, according to documents filed with the SEC.
Read more »
Elon Musk makes $41.4 billion cash offer to buy TwitterMusk said that if the offer is not accepted he would 'need to consider position as a shareholder.'
Read more »
Elon Musk Offers to Buy Twitter for $41.3B to Take Company PrivateTwitter shares surged more than 12% in pre-market trading following Musk's statement.
Read more »
Elon Musk offers to buy Twitter in takeover attemptTwitter needs to go private for the changes needed
Read more »