Twitter board endorses Elon Musk takeover, urges investors to vote in favor of the deal
The acquisition is in the best interest of the company, they said in a regulatory filing Tuesday.
A shareholder vote is one of the final steps in Musk’s $44 billion deal to take the company private.
Tesla billionaire Elon Musk is one step closer to owning Twitter.
The social media giant’s board of directors on Tuesday recommended that its shareholders vote in favor of the proposed $44 billion sale, according to a regulatory filing.
The board unanimously “determined that the merger agreement is advisable and the merger and the other transactions contemplated by the merger agreement are fair to, advisable and in the best interests of Twitter and its stockholders,” it said in a proxy filing with the Securities and Exchange Commission.
Twitter has not yet set a date for the vote.
Musk offered $54.20 per share to take the company private in April.
However, shares of the company have since sunk alongside a broader market selloff. The stock closed at roughly $38 on Friday, 34% below Musk’s offering price.
The deal has gone anything but smoothly. Earlier in June, Musk threatened to scrap the deal entirely after accusing Twitter of stonewalling his requests for data about spam accounts.
In response, Twitter said it remained committed to the deal and was cooperating with Musk’s requests for information. But as recently as Tuesday morning, Musk said he was still seeking more clarity about the true number of real users on Twitter.