comscore Top 5 things you should know about Elon Musk’s Twitter buyout
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Elon Musk to buy Twitter for $44 billion: Five things you need to know about it

Here is what Elon Musk's acquisition of Twitter means for current CEO Parag Agarwal and the company's employees.

Elon Musk buys Twitter

Twitter’s board, after trying to block Tesla CEO Elon Musk’s attempts of a hostile takeover initially, has decided to accept his offer and take the company private. This deal values the micro-blogging platform at $44 billion. Also Read - Tesla is on my mind 24/7, says Elon Musk amid concerns over Twitter distraction

As a part of the deal, Twitter shareholders will receive $54.20 in cash for each share of Twitter upon closing of the proposed transaction. The purchase price, according to a release shared by Twitter, represents a 38 percent premium to Twitter’s closing stock price on April 1, 2022, which was the last trading day before Musk disclosed his 9.2 percent stake in the company Twitter. Also Read - Hackers can steal your Tesla, smartphones using a simple Bluetooth hack

According to reports, Musk met Twitter executives on Sunday to discuss his “best and final offer” to buy the company and take it private. The following day, the executives of the two companies met to iron out the issues with the deal such that they were in the best interest of the company and its stockholders. Also Read - Elon Musk says Twitter deal ‘cannot move forward’ until it proves bot claims

As the news of Twitter being acquired by Musk starts to sink in, here are top five things that you should know about the deal:

What is Twitter CEO Parag Agarwal saying?

Responding to the matter, Twitter CEO Parag Agarwal talked about the importance of the platform and what it represented. “Twitter has a purpose and relevance that impacts the entire world. Deeply proud of our teams and inspired by the work that has never been more important,” he wrote in a tweet.

What will happen to Parag Agarwal once Elon Musk takes over?

While Twitter hasn’t exactly commented on the fate of Agarwal once Elon Musk takes over the company, however, according to a research firm Equilar, he will receive an estimated $42 million if he were terminated within 12 months of a change in control at the company, Reuters reported. These details are based on his salary plus accelerated vesting of all equity awards.

What will happen to Twitter employees?

Agrawal, post the announcement of the deal, told the employees the future of the company remained uncertain after Musk took over the company.

“Once the deal closes, we don’t know which direction the platform will go,” Agrawal said, referring to a question on whether former US President Donald Trump will be allowed back on the platform. “I believe when we have an opportunity to speak with Elon, it’s a question we should address with him,” he said while expressing a company-wide town hall meeting, as reported by Reuters.

He also told the Twitter employees that there were no plans for layoffs.

What is Twitter founder Jack Dorsey saying about the deal?

Twitter founder Jack Dorsey has expressed his faith in Musk’s leadership. He also said that taking the company back from Wall Street was the ‘correct first step’ towards rebuilding the company.

“The idea and service is all that matters to me, and I will do whatever it takes to protect both. Twitter as a company has always been my sole issue and my biggest regret. It has been owned by Wall Street and the ad model. Taking it back from Wall Street is the correct first step,” Dorsey wrote in a series of tweets.

“In principle, I don’t believe anyone should own or run Twitter. It wants to be a public good at a protocol level, not a company. Solving for the problem of it being a company however, Elon is the singular solution I trust. I trust his mission to extend the light of consciousness,” he added.

He also expressed his faith in Musk’s vision for the company. “Elon’s goal of creating a platform that is “maximally trusted and broadly inclusive” is the right one. This is also @paraga’s goal, and why I chose him. Thank you both for getting the company out of an impossible situation. This is the right path…I believe it with all my heart,” he wrote in a subsequent tweet.

What is Amazon CEO Jeff Bezos saying about the deal?

Amazon Inc founder Jeff Bezos posed a rather daring question on the news of Musk taking over Twitter. In a series of tweets, Bezos highlighted close ties that Tesla had with China and whether or not the Chinese government had gained leverage over China. In a subsequent tweet, he said that the development is likely to make matters more complex for Tesla rather than introducing censorship for Twitter.

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  • Published Date: April 26, 2022 10:49 AM IST



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