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Twitter needs to be transformed as a private company, says Elon Musk

Business Insider US
Elon Musk. Yasin Ozturk/Anadolu Agency via Getty Images
Elon Musk. Yasin Ozturk/Anadolu Agency via Getty Images
  • Elon Musk has offered to buy Twitter outright.
  • He's proposed buying 100% of the company's stock at $54.20 per share.
  • "Twitter has extraordinary potential. I will unlock it," Musk said.
  • For more stories go to www.BusinessInsider.co.za.

Elon Musk has offered to buy Twitter outright for $54.20 per share, a filing with the Securities and Exchange Commission showed on Thursday.

"I invested in Twitter as I believe in its potential to be the platform for free speech around the globe, and I believe free speech is a societal imperative for a functioning democracy," Musk said.

"However, since making my investment I now realise the company will neither thrive nor serve this societal imperative in its current form. Twitter needs to be transformed as a private company. As a result, I am offering to buy 100% of Twitter for $54.20 per share in cash," he added. Musk's offer came just days after rejecting a seat on the social media company’s board.

According to Reuters Musk’s offer price of $54.20 per share, represents a 38% premium to Twitter's April 1 close, the last trading day before the Tesla CEO's more than 9% stake in the company was made public.

Twitter’s shares jumped 12% in premarket trading.

"My offer is my best and final offer and if it is not accepted, I would need to reconsider my position as a shareholder,"  Musk said.

Earlier this week, Musk said he had abandoned a plan to join Twitter’s board, just as his tenure was about to start. Taking the board seat would have prevented him from a possible takeover of the company.

"Twitter has extraordinary potential. I will unlock it," Musk said.

Twitter's stock jumped 12% pre-market.

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