Tesla founder and CEO Elon Musk have finally taken over Twitter, despite months of lawsuits, rambling, and near-trials. Based on filings with the US government, the wealthiest man reportedly paid $44 billion to acquire Twitter.
He had invested in Twitter way back in January this year and started a month-long drama. However, some sources say that he bought some Twitter shares in April but later raised concerns about spammy profiles on the platform. After that, he said that Twitter still needs to give him an honest assessment of his volume.
The first indication that Elon Musk will purchase Twitter
According to the Securities and Exchange Commission (SEC) report, Musk invested in Twitter only in late January 2022. Based on a filing, he also became Twitter's top shareholder with a 09.2% stake as of March.
Later, he also joined the board of the company in April 2022. According to SEC documents, Musk offered $54.20 for each share to buy Twitter, which sits at $43 billion. The offer represented a 38% increase when Musk's Twitter stake became official.
The deal offered by Elon Musk
At the time of the deal, he claimed he only had $46.5 billion in the finances to buy Twitter in a regulatory filing. On April 25, Twitter accepted a $44 billion offer to buy the firm.
Musk also sold Tesla shares worth about $08.5 billion three days after the Twitter deal. Based on the filing, they received over $07 billion in buyout funding from Oracle, Sequoia Capital, and Binance.
Twitter sued Elon Musk for backing out of the agreement
Following the final bid by Elon Musk, Twitter investors sued him on May 26 for market manipulation during the bidding process. He said that Twitter's shares had fallen by more than 12% because of this activity by him.
The investors filed suit in Chancery Court in Delaware to complete the purchase. However, the trial was further expedited to October by Delaware judges.
The final attempt by Elon Musk to acquire Twitter
Following a case filed by investors against him, he directed the closure of the contract to buy Twitter on October 04, reversing a month-long attempt to cancel the contract. This last effort was made in response to Musk's offer to acquire Twitter.
According to ABC News, a source familiar with the idea said it would result in a transaction. This is accomplished at an original offer price of $54.20 for each of Musk's shares, which is valued at approximately $44 billion.
After joining Twitter, Elon Musk was greeted and welcomed by his former CEO, Parag Agarwal. Three sources aware of the matter have said that on Thursday evening, he had agreed to buy Twitter for $ 44 billion. The same evening, he fired 04 senior executives of Twitter, including the Chief Executive Director and Chief Finance Director of Approach. He also started cleaning houses in the company.
Only when a new committee dedicated to these matters is formed will it prevent any vital decisions regarding content censorship.
Musk tweeted, announcing his plans to create a content regulation council on Twitter, "Twitter will organize a Content Management Council with diverse opinions."
Elon Musk hints at lifting the ban on Donald Trump's Twitter account
Later, after the complete acquisition of Twitter, he announced that he would unban Trump's account.
Twitter's lifetime ban against Donald Trump is another blow to Elon Musk. He promised to reverse it in a conference call with the Financial Times. "I reply that the response is that while I will change the permanent ban," he said. He said, "I can't sell Twitter right now, so nothing like this will happen because what if I don't buy Twitter?"
Twitter potential according to Elon Musk
Musk's pitch deck for the claims to shareholders, according to The New York Times. By 2028, he will increase Twitter's annual revenue to $26.4 billion, more than tripling. In connection with the rapid growth of users. By 2025 and 2028, they forecast that Twitter would have 600 million and 931 million users, respectively. This represents a significant growth with 217 million active users.
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